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A new report has revealed internal disagreement within Apple, causing some employees who work on the company's ads business to raise concerns that showing more ads to iPhone users ruins the premium experience that's been long offered to its customers, The Information reports.

App-Store-Ads.jpeg

The lengthy report by The Information takes a deep dive into how Apple's ads team operates and internal concerns that the company's already growing ads business is going too far. According to the report, for example, Apple's ads salespeople are forbidden from using specific keywords when talking about the company's ads business. Salespeople should use "audience refinement" instead of saying "targeting," "platform" instead of "algorithm," and "competitor keywords" and "brand defenses" instead of "conquesting."

An Apple spokesperson, responding to the list of forbidden words, told The Information that the company wants employees to use language that is appropriate to Apple's offerings and that terms such as "targeting" do not apply since Apple doesn't let advertisers target specific users. Apple does not allow advertisers to target a demographic of less than 5,000 users to safeguard user privacy, according to the company.

While publicly, Apple displays a unified front on ads, especially those in the App Store meant to help developers gain more users and customers discover more apps, internally, employees are less than satisfied with the current approach. In internal chatrooms, at least seven employees who worked on Apple's ads team voiced concerns that the company is going too far in its ads business and will damage the premium experience of using an iPhone. The report reveals that in 2018, Apple had plans to show users ads in Spotlight search on iOS, but it was reportedly abandoned after possible internal backlash.

Some managers within Apple's ads department previously pushed salespeople to pitch ad opportunities to different companies using keywords that were less relevant to their apps but that were less expensive than other keywords, according to the report. The requests from managers often made salespeople uncomfortable, adding to the fact that Apple's ads team did not have access to contact information or financial details about developers on the App Store, alienating them further.

In the last few weeks, developers, customers, and critics of Apple have all voiced disapproval of the company's plans to expand its ads footprint in the App Store. Reports also suggest Apple plans to introduce ads in Apple Maps and Apple TV+. Even with the expansion in ads, Apple has no ambition to grow its ads business to the size of Meta or Google, according to a person familiar with the matter cited by the report.
But inside Apple there doesn't currently seem to be much appetite for goals that big. One person familiar with Apple's ad business said the company doesn’t harbor ambitions to compete at the same level as Meta and Google in digital advertising, nor does it plan to build an advertising network similar to those of its rivals that would serve ads to users outside its own apps and services. The person said ad executives are pleased with revenue growth based on Apple's existing ad spots and don’t plan to significantly increase the number of ads on iPhones to meet growth targets.
In the meantime, Apple has paused ads on the App Store for specific categories after a botched roll-out last month, and the company has not formalized plans to expand ads into other services. According to Bloomberg's Mark Gurman, Apple's advertising chief Todd Teresi wants to more than double Apple's current revenue from its ads business to $10 billion annually, up from the current $4 billion.

Article Link: Report Reveals Apple Employees Internally Unhappy With Plans to Show More Ads to iPhone Users
 

Realityck

macrumors G4
Nov 9, 2015
10,692
16,069
Silicon Valley, CA
A new report has revealed internal disagreement within Apple, causing some employees who work on the company's ads business to raise concerns that showing more ads to iPhone users ruins the premium experience that's been long offered to its customers, The Information reports.
That’s good news, as I can’t stand ads. I don’t mind the occasional email from Apple pitching their services, but placing ads in the new weather app for example is just wrong.
 
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contacos

macrumors 603
Nov 11, 2020
5,075
19,578
Mexico City living in Berlin
Terms such as "targeting" do not apply since Apple doesn't let advertisers target specific users.

My a$$

Bildschirm­foto 2022-11-15 um 10.20.46.png


Thats literally how Google does it as well, only that they have more options such as "interests" but generally speaking, it's the same kind of "Targeting". It's not like Google lets its advertisement target "Jon Doe, Living in XY Street, with the credit card number xy"
 

Robert.Walter

macrumors 68040
Jul 10, 2012
3,151
4,522
Agree, adds bad. If I wanted adds I could have bought Android or not installed content blockers in safari or pay for private relay each month.

Targeted adds feels like the first step to being monitized.

To clarify, I’m ok with ads popping up in the App Store or maybe embedded in a podcast by the Podcaster or even in a free app (given the opportunity to pay a one time fee to remove adds) but I’m not really keen on much beyond that.

I like the peaceful experience of not having my screen or mental bandwidth assaulted by adds (which in some ways feel like an unwanted nut showing up outside and banging on your window to sell you that rubber chicken you don’t need.)
 

Roadstar

macrumors 68000
Sep 24, 2006
1,723
2,189
Vantaa, Finland
I am already getting ads on some podcasts. Funny thing though. I live in Finland, but am subscribing to a US podcast and getting ads in Finnish. Not sure where I should complain.

Where is the podcast hosted and which app are you using? That sounds like dynamic ad insertion by the podcast network. I’m in Finland as well and listen to many US podcasts, but I haven’t got a single ad in Finnish. That would actually require the hosts to learn some Finnish as they typically read out the ads themselves instead of accepting an inserted clip from whatever source.
 

Polarvogel

macrumors newbie
Oct 24, 2017
3
47
The time has come, wenn being in the Apple ecosystem really feels like a trap. There is not much left to defend when arguing with Windows/Google/Android users.

On the other hand: When not even a higher selling price protects our data and uncluttered experience, free and open source projects will gain more attention and finally the Linux mobile distributions will rise from the ashes.
 

cyanite

macrumors 6502
Sep 28, 2015
345
459
Terms such as "targeting" do not apply since Apple doesn't let advertisers target specific users.

My a$$

View attachment 2113315

Thats literally how Google does it as well, only that they have more options such as "interests" but generally speaking, it's the same kind of "Targeting". It's not like Google lets its advertisement target "Jon Doe, Living in XY Street, with the credit card number xy"
Well, you did cut your quote short there. “Apple does not allow advertisers to target a demographic of less than 5,000 users to safeguard user privacy, according to the company.”
 

ashdelacroix

macrumors regular
Jan 1, 2013
217
856
There should be zero ads on a platform sold to us as being the very opposite of the revenue model used by the likes of Google and Facebook. Apple needs to be reminded of its core values. Apple is now fully in the grip of the operations division rather than the design division. No wonder the design team is losing people. Jony Ive's departure is making more and more sense.
 

Koni17

macrumors member
Nov 2, 2016
84
451
These revenue driven decisions are slowly destroying the differentiators that made iOS competitive in comparison to Android. What used to be a deciding factor for going with iOS (fewer ads and tracking, more security, etc.) is becoming a moot point. The Apple employees can only voice their concerns for so long until revenue hungry management overrules them. Sad to see Apple going in this direction,
 

Dremmel

macrumors regular
May 25, 2017
199
316
How does revenue from ads compare to overall revenue? A rounding error? It's a disgrace that Tim Cook is ruining such a great company. The Apple Magic that was curated and grown over many years won't be so easy to rebuild if he carries on down this path. Users want a great ad free UI, not app stores that show ads and products that Apple wants you to download because they make the most money from them.
 

rukia

macrumors regular
Jul 18, 2021
212
704
Terms such as "targeting" do not apply since Apple doesn't let advertisers target specific users.

My a$$

View attachment 2113315

Thats literally how Google does it as well, only that they have more options such as "interests" but generally speaking, it's the same kind of "Targeting". It's not like Google lets its advertisement target "Jon Doe, Living in XY Street, with the credit card number xy"

 

autumnpatchouli

macrumors member
Oct 21, 2014
72
119
Central USA
Apple increases the price of the entry iPad, effectively nudging their customer to the next-in-line, even more expensive iPad. Apple increases subscription prices. Apple ramps up their walled garden ad business. Greed seems to be the current business plan. I feel like I should start using services outside the Apple garden, so I’m not trapped when the Apple experience no longer warrants the premium prices.
 

Shirasaki

macrumors P6
May 16, 2015
15,899
11,277
i can’t say i see this a thousand miles away, but my guts tell me Apple is not the company their PR machine wants me to believe otherwise. Thankfully, my enjoyment of using Apple device doesn’t have much to do with having no ads whatsoever (you need personal mobile firewall for that), for now.

Apple obviously has changed, to something old user never remember. It’s astonishing to see this change happening so fast and so powerful in our lifetime. This time it’s more ads. What’s next?
 

wanha

macrumors 68000
Oct 30, 2020
1,617
4,611
I am already getting ads on some podcasts. Funny thing though. I live in Finland, but am subscribing to a US podcast and getting ads in Finnish. Not sure where I should complain.
I noticed the same thing a few weeks ago (I'm also a Finn).

I asked a friend of mine who is more technically savvy than I am to look into it.

He found that for the US-based podcast I was listening, they were using a service called spreaker.com to infuse localized ads into the podcast.

The way the system apparently works is that when you click to download or stream a podcast (even if it's on a third party app like Overcast), the spreaker backend server quickly creates a unique file of the podcast with your localized ads placed in.

Not sure your podcast is using the same service, but I'd imagine it's a similar mechanism.
 
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