Facebook exec says ad-based businesses are ‘under assault’ by Apple’s privacy changes

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Facebook has been complaining about Apple since the company introduced a new privacy feature in the iOS 14 beta that forces developers to ask users before tracking them across the web. David Fischer, Facebook’s chief revenue officer, now said that every business based on advertising is “under assault” by the changes imposed by Apple.

As reported by CNBC, Fischer spoke in a virtual session of Advertising Week this Tuesday about Facebook’s vulnerability to companies like Apple and Google. During his speech, the Facebook executive argued that several businesses are being threatened by Apple’s new privacy rules.

And right now, frankly, some of that is under assault, that the very tools that entrepreneurs, that businesses are relying on right now are being threatened. To me, the changes that Apple has proposed, pretty sweeping changes, are going to hurt developers and businesses the most.

He also mentioned that Apple’s business model is about selling “luxury hardware” to those who can afford it, suggesting that advertisements make products and services more affordable for everyone.

That’s fine, but I don’t think it’s appropriate to then dictate that has to be other business models, and the one that we believe is so valuable, one that relies on advertising, in our case, personalized ads, to enable free products, enable businesses to launch and grow and thrive, we’re going to defend that. And we think it really important that not just we but our industry does that.

iOS 14 introduces a new privacy feature that makes it harder for apps to track users, which will directly impact apps and services that rely on advertising revenue — like any Facebook apps. The company has postponed the requirement to implement this new feature to 2021 after hearing feedback from developers.

Instagram CEO Adam Mosseri recently said during an interview that ad rates are expected to drop by up to 50% after Apple’s new privacy features are implemented, which will affect not only Instagram as a company but also content creators.

At least for now, despite the postponement, Apple doesn’t seem willing to give up its latest decisions on the new iOS 14 privacy features.

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