The Facebook stock price has recently jumped by over 4% on Friday, Mar. 20, following some of the comments made by the company's Chief Executive Mark Zuckerberg recently on Thursday, Mar. 18, indicating a total shift in his view regarding the new Apple new user privacy update that could potentially weaken the popular social network's advertising efforts. After quite a battle that the social media platform had with Apple over concerns, the new update would affect them.
Mark Zuckerberg on Apple privacy update
According to an article by Investors, Mark Zuckerberg has reportedly been battling against Apple over certain concerns that Facebook's personalized advertising could take a blow by an iOS 14 update made for the Apple iPhone and iPad. For the course of the past few weeks, Facebook has reportedly run a certain ad campaign that was defending the use of personalized advertisements. It also said that targeted ads, in general, are key to the success of most small businesses.
Mark Zuckerberg recently changed his solid stance while recently being interviewed on the new social media network that is known as Clubhouse, according to Substack. When Mark Zuckerberg was asked about Apple, the general reality is that he is confident that they're going to be able to manage through the whole situation quite well, and they will be able to do so in a good position. He also added that he thinks they might even be in a stronger position if Apple really encourages more businesses to conduct through commerce on their social media platforms.
Why advertising is important to Facebook
Every particular iPhone and iPad already has its own unique identifier that is known as an IDFA. The upcoming new iOS 14 update coming from Apple now allows users to disable a social media app's ability to track their activities. On the other hand, Facebook sells mobile advertisements that actually rely on this particular ID to help with the whole target ads to certain users. Advertising now accounts for around 98% of the total Facebook revenue.
Mark Zuckerberg now expects that small businesses and developers will have maybe a harder time navigating through all of the changes. Google owner Alphabet has still been relatively quiet about the whole change as it now introduces its very own privacy-related changes on its popular Chrome browser.
Other tech companies comments on the new Apple privacy update
Alphabet has also promised to stop actually tracking individual users quite entirely. In addition to both Snap and Twitter, the change will now be good for general user privacy and might even benefit their own business.
Apple watchers are all expecting the upcoming changes on the iOS 14 will be rolling out soon. The Facebook stock price has climbed up by 4.1% and closed at 290.11 as of Mar. 19 closing. The rise in Facebook stock price has recently spiked after Facebook CEO Mark Zuckerberg decided to stop the aggressive stance against the new Apple privacy update.
This article is owned by Tech Times
Written by Urian Buenconsejo