Apple is implementing significant privacy changes on iOS, letting users know how apps want to use their data. Allowing users to stop sharing the IDFA advertising ID is likely to hit Facebook and Snap the hardest, according to a note from MKM analysts.

Facebook and Snap Have Most to Lose From iOS Privacy Update

The ID is used to target ads and see their effectiveness. Normally, most users wouldn’t not much about them. However, Apple’s changes bring them front and center and probably encourage more people to turn them off. In the note, seen by CNBC, the analysts said that Twitter and Pinterest are the next Facebook and Snap to face issues, based on a variety of factors. Google and Amazon, however, have the lowest relative exposure.  They wrote:

However, when it comes to gravitational pull, relative ad efficacy, and access to 1st party data vs. other sub-scale platforms, programmatic ad networks and publishers, we expect the Big Six online ad companies to fare better than the rest of the industry,” they wrote. “We expect more attention on this issue as we approach 4Q earnings/2021 outlook, and we’d be buyers on weakness, particularly of FB and SNAP shares, attributable to upcoming iOS 14 changes.”

Facebook has spoken out against the changes very publicly. This included an advertising campaign in national newspapers.

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