Facebook Says Impact of iOS 14.5's App Tracking Transparency Will Be 'Manageable'

[MacRumors]

Facebook today announced its earnings for the first calendar quarter of 2021, and during the call discussing the results, Facebook executives confirmed that Apple's App Tracking Transparency will have a "manageable" impact on Facebook's business starting in the second quarter.

As highlighted by ZDNet, Facebook CFO Dave Wehner said that Facebook is expecting "increased ad targeting headwinds in 2021 from regulatory and platform changes, notably the recently launched iOS 14.5 update." iOS 14.5 is the update that includes App Tracking Transparency, and it requires app developers to ask for express permission before accessing the IDFA for tracking users across apps and websites.

Facebook COO Sheryl Sandberg went on to explain that Facebook is doing a "huge amount of work" to prepare for the changes to personalized advertising, including rebuilding elements of its advertising platform and making the case that "personalized advertising is good for people and businesses."

We're doing a huge amount of work to prepare. We're working with our customers to implement Apple's API and our own aggregated events measurement API to mitigate the impact of the iOS 14 changes. We're rebuilding meaningful elements of our ad tech so that our system continues to perform when we have access to less data in the future.

And we're part of long-term collaborations with industry bodies like the W3C on initiatives like privacy enhancing technologies that provide personalized experiences while limiting access to people's information. It's also on us to keep making the case that personalized advertising is good for people and businesses, and to better explain how it works so that businesses don't have to understand the alphabet soup of acronyms they'll need to comply with. But they do need to have confidence that they can still use our tools to reach the people who want to buy what they're selling in a privacy-safe way. We're confident they can and that they can continue to get great results as digital advertising evolves.

Wehner said that he believes the impact to Facebook's "own business" will be manageable, and that the company's goal is to maintain and improve ad performance with less data. He also took the opportunity to criticize Apple's platform, and said that Facebook is also facing problems from Apple's private APIs that advantage Apple's own products and services.

Overall, the impact of these specific iOS 14 changes are one element of some of the challenges with Apple, but we think the impact of the Apple approach is really much bigger than this particular update. Apple has a number of private APIs on hardware and software that advantage their own products and services in ways that are challenging. We face that issue in places like our messaging products, and even with the hardware products we're launching. So we generally don't think this closed approach is the best one for the industry from an innovation perspective.

Prior to the enforcement of App Tracking Transparency, Facebook launched a campaign attempting to position Apple as an enemy of small businesses, going as far to take out full page newspaper ads decrying the new feature. "Apple's latest update threatens the personalized ads that millions of small businesses rely on to find and reach customers," reads Facebook's site encouraging small businesses to "add their voice" and speak out against ATT.

There had been questions about Facebook's narrative and how much of an impact the changes would actually have on small businesses, and even Facebook employees felt that Facebook was just using a sympathetic message to "justify doing a bad thing."

Facebook CEO Mark Zuckerberg in March began downplaying the potential impact of App Tracking Transparency and said that the changes could ultimately benefit Facebook if Apple's new policies encourage businesses to advertise and sell exclusively through Facebook platforms.

Facebook has already begun rolling out its App Tracking Transparency prompt to Facebook users, but the rollout will take a few weeks, so not everyone will see the prompt at the current time.

Article Link: Facebook Says Impact of iOS 14.5's App Tracking Transparency Will Be 'Manageable'

 

[kenni417]

yes i’m sure it will, zucc

 

[farewelwilliams]

so all that talk before was pure BS?

shocking...

 

[GeoStructural]

They have found a way already I am sure, last night I was sending the management company a request for repair of my bathroom and all I can see today is ads about bathtubs, toilets and bathroom remodeling companies.

 

[JippaLippa]

I'm so glad that other than Instagram (that's just useful for my job), Facebook hasn't been a part of my life since 2014

 

[Corsig]

Then why all the full page newspaper ads?? Something tells me Zuck is full of it

 

[jz0309]

pretty lousy to blame other companies by name in an earnings call, but should we be surprised?

 

[JungeQuex]

I'm so glad that other than Instagram (that's just useful for my job), Facebook hasn't been a part of my life since 2014

Pretty much. I left Facebook around the same time. However, I made the huge mistake of going back around 2018, and jumped on the social media bandwagon in order to promote some pages.

Anyway, the entire place is a pretty nasty hive of politics and bad will towards one another. Years ago, Facebook was a great way to stay in touch with your friends. Now? It’s a great way to help drive former friends apart.

 

[yaxomoxay]

Scariest words from Facebook: “we’ll manage”

 

[now i see it]

after updating my iPhone to iOS 14.5, Its now clear that App Tracking enforcement was primarily aimed at face book. Of the 108 apps installed on my phone, only one asked to track (a slow motion video tool). I don't use FB.

 

[BWhaler]

Sheryl Sandberg & Zuck. The tobacco executives of the digital age.

 

[JippaLippa]

Pretty much. I left Facebook around the same time. However, I made the huge mistake of going back around 2018, and jumped on the social media bandwagon in order to promote some pages.

Anyway, the entire place is a pretty nasty hive of politics and bad will towards one another. Years ago, Facebook was a great way to stay in touch with your friends. Now? It’s a great way to help drive former friends apart.

I'll admit it...it's a sacrifice.
Not being able to promote myself on facebook/twitter hinders my discoverability (I'm a professional motion graphics designer), but I'm still convinced of my choice.

I'm not social-phobic, after all I have Instagram, Linkedin and others, but I just don't like google and facebook as companies, and I do not feel any need for twitter.
I'm also freeing myself from google; I just need to ditch gmail and it'll be it.

 

[TheWatchfulOne]

App tracking transparency will be manageable for FaceBook? Sounds like Apple needs to try harder.😉

 

[JungeQuex]

I'll admit it...it's a sacrifice.
Not being able to promote myself on facebook/twitter hinders my discoverability (I'm a professional motion graphics designer), but I'm still convinced of my choice.

I'm not social-phobic, after all I have Instagram, Linkedin and others, but I just don't like google and facebook as companies, and I do not feel any need for twitter.
I'm also freeing myself from google; I just need to ditch gmail and it'll be it.

I recently did the change away from Google search to DuckDuckGo, and, well, it’s not great. I find myself going to Google often anyway. You are sort of trapped in the Google search paradigm for now. I ditched Gmail years ago for iCloud, which has been fine. Apple Maps have gotten better, etc. Anyway, getting away from these types of companies is hard to say the least.

 

[JippaLippa]

I recently did the change away from Google search to DuckDuckGo, and, well, it’s not great. I find myself going to Google often anyway. You are sort of trapped in the Google search paradigm for now. I ditched Gmail years ago for iCloud, which has been fine. Apple Maps have gotten better, etc. Anyway, getting away from these types of companies is hard to say the least.

To be honest I have been using DuckDuckgo for 2 years and it almost never happens that I do not find what I was searching for.
I honestly don't understand why more people don't switch.

 

[TheYayAreaLiving 🎗️]

Leave this world Facebook.
Open up ur operations in Mars.

 

[mtneer]

Sheryl Sandberg & Zuck. The tobacco executives of the digital age.

Hope we get a Netflix documentary on the rise & fall of Sheryl Sandberg. I remember the goodwill and a halo she had 10 years ago during the “Lean In” era. And now, how far she has fallen as Zuck’s enabler and lackey.

 

[Sciomar]

Typical of these invasive companies in today's society, "the sky is falling and apple is literally hitler" argument prior to roll-out. Followed up with the, "oh it's manageable". Tired tactics.

 

[hotpotato123]

Does this mean, from now on, one should not update the Facebook & Messenger iOS app, because Facebook is telling us that subsequent updates will be designed in their attempt to get around the Apple restrictions?

 

[Saturnine]

The target audience is important. Is anybody really surprised that Facebook would tell their investors that “everything’s alright!” They have a share price to look after…

 

[EdT]

I'll admit it...it's a sacrifice.
Not being able to promote myself on facebook/twitter hinders my discoverability (I'm a professional motion graphics designer), but I'm still convinced of my choice.

I'm not social-phobic, after all I have Instagram, Linkedin and others, but I just don't like google and facebook as companies, and I do not feel any need for twitter.
I'm also freeing myself from google; I just need to ditch gmail and it'll be it.

If you have Instagram you have a Facebook profile. Instagram is owned by Facebook. If you have friends and family and who post a picture of you or makes comments about you then Facebook keeps a file on you anyway. --Link to Reuters article--

 

[Sciomar]

Does this mean, from now on, one should not update the Facebook & Messenger iOS app, because Facebook is telling us that subsequent updates will be designed in their attempt to get around the Apple restrictions?

There are rules Apple has put in place which should punish/prevent the circumvention. We all know FB will undoubtedly try, I just hope they're held to the fire when they're caught.

 

[ReflecTruth]

I recently did the change away from Google search to DuckDuckGo, and, well, it’s not great. I find myself going to Google often anyway. You are sort of trapped in the Google search paradigm for now. I ditched Gmail years ago for iCloud, which has been fine. Apple Maps have gotten better, etc. Anyway, getting away from these types of companies is hard to say the least.

Similar. I use DuckDuckGo as much as possible, but it still feels like it comes up short. So, I venture back to Google more often than I'd like.

 

[reig3]

Like most ticks, when you find the you get rid of them. Clearly APPLE isn't obligated to provide income to Facebook.

 

[DeepIn2U]

Facebook today announced its earnings for the first calendar quarter of 2021, and during the call discussing the results, Facebook executives confirmed that Apple's App Tracking Transparency will have a "manageable" impact on Facebook's business starting in the second quarter.

As highlighted by ZDNet, Facebook CFO Dave Wehner said that Facebook is expecting "increased ad targeting headwinds in 2021 from regulatory and platform changes, notably the recently launched iOS 14.5 update." iOS 14.5 is the update that includes App Tracking Transparency, and it requires app developers to ask for express permission before accessing the IDFA for tracking users across apps and websites.

Facebook COO Sheryl Sandberg went on to explain that Facebook is doing a "huge amount of work" to prepare for the changes to personalized advertising, including rebuilding elements of its advertising platform and making the case that "personalized advertising is good for people and businesses."Wehner said that he believes the impact to Facebook's "own business" will be manageable, and that the company's goal is to maintain and improve ad performance with less data. He also took the opportunity to criticize Apple's platform, and said that Facebook is also facing problems from Apple's private APIs that advantage Apple's own products and services.Prior to the enforcement of App Tracking Transparency, Facebook launched a campaign attempting to position Apple as an enemy of small businesses, going as far to take out full page newspaper ads decrying the new feature. "Apple's latest update threatens the personalized ads that millions of small businesses rely on to find and reach customers," reads Facebook's site encouraging small businesses to "add their voice" and speak out against ATT.

There had been questions about Facebook's narrative and how much of an impact the changes would actually have on small businesses, and even Facebook employees felt that Facebook was just using a sympathetic message to "justify doing a bad thing."

Facebook CEO Mark Zuckerberg in March began downplaying the potential impact of App Tracking Transparency and said that the changes could ultimately benefit Facebook if Apple's new policies encourage businesses to advertise and sell exclusively through Facebook platforms.

Facebook has already begun rolling out its App Tracking Transparency prompt to Facebook users, but the rollout will take a few weeks, so not everyone will see the prompt at the current time.

Article Link: Facebook Says Impact of iOS 14.5's App Tracking Transparency Will Be 'Manageable'

Aahhh look at that, he (Zuckerberg) talked to his confidence coach in order to help out for customers not leaving his platform for advertising so cute