Speaking at the second quarter financial report meeting, Facebook CFO David Wehner said that iOS 14 will restrict user targeting capabilities and result in a drop in ad revenue.
Apple will present the new operating and security options to users, along with many new features in iOS 14, which will be the most current version of the mobile operating system iOS. It seems that these privacy options will affect not only the user experience but also the income of tech giants.
Speaking about the features at the meeting where Facebook announced the 2020 Q2 financial reports, David Wehner, Facebook CFO, stated that the privacy options of iOS 14 will cause a decrease in Facebook’s user targeting, measurement and development efficiency.
“We are still trying to understand how these changes will affect us and the rest of the industry.” Wehner said that at least application developers and businesses can predict that it will be difficult to grow using ads on Facebook or other platforms. According to Wehner, with the spread of iOS 14, the decline in advertising revenues will be seen in the fourth quarter of 2020.
Facebook, Google or other advertising services constantly track users and store data in order to more accurately identify users’ interests and needs and show the most suitable advertisement. iOS 14 will ask users if they want an app or website to follow them when they open an app for the first time. Therefore, monitoring user data will be out of the companies’ initiative.