Apple plans offering more advertising to users via apps

Posted:
in iOS
Users of iPhone apps such as Maps and Podcasts could potentially see more advertising in the future, with a report claiming it is planning to step up its ad business considerably.




Some of Apple's services, such as the App Store, News, and Stocks, serve advertising to users alongside content. While other apps like Maps have so far avoided an advertising push, it is claimed Apple is working on doing just that.

In Sunday's "Power On" newsletter for Bloomberg, Mark Gurman claims Apple's advertising teams "gained a foothold" within the Services business earlier in 2022. Todd Teresi, who previously reported to Eddy Cue during the time of the iAd network, started to report to Cue once again.

Teresi is said to have discussed expanding the ad arm, increasing its $4 billion in annual revenue to double digits. To accomplish that goal, more advertising will have to be served to users.

There was also mention of the advertising business during an earnings call, but despite some headwinds, it was seen as a positive for the company. This was apparently an indicator to Gurman that there was interest within the company on the matter.

Gurman believes that there will be more ads in digital storefronts, such as Books and Podcasts, with more advertising included within TV+ as well. An expansion of search ads to Apple Maps is also thought to be a possibility, and has also reportedly been explored internally.

While Apple could bolster its ad revenue with more ads, it still has to do so while maintaining privacy to consumers. It already benefits from its App Store search ads despite most of the search volume stemming from devices with first-party data collection turned off.

In July, Apple confirmed it was trialling new ad slots in the App Store, including a placement on App Store Today and the "You Might Also Like" section.

Read on AppleInsider
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Comments

  • Reply 1 of 43
    gatorguygatorguy Posts: 23,473member
    So over the past few years Google has mimicked Apple more, tightening up security, running their app store similarly to Apple's, and noticeably improving user control over privacy, and received chiding for it. Mimicry apparently works both ways.

    Here comes Apple. 
    ctt_zhneoncatappleinsiderusermuthuk_vanalingamDAalsethelijahg
  • Reply 2 of 43
    JP234JP234 Posts: 548member
    "Apple plans offering more advertising to users via apps"

    How generous of Apple to "offer" us more ads. SAID NO ONE EVER.
    edited August 14 dewmeneoncatbaconstangpaxmanMrBunsidebeowulfschmidtgrandact73muthuk_vanalingamkitatitelijahg
  • Reply 3 of 43
    Oh, no. No more advertising. Any pop ups and I’m out.
    danoxbaconstanggrandact73kitatitelijahg
  • Reply 4 of 43
    Cool, looking forward to Apple dramatic lowering prices on their devices due to the degraded, advertising-soaked user experience. Right? ... Right?
    paxmanMrBunsidebeowulfschmidtkitatitelijahg
  • Reply 5 of 43
    danoxdanox Posts: 1,348member
    Apple in Content and Ads losing focus….
    baconstangkitatitelijahg
  • Reply 6 of 43

    Noooo…

    Please no!
    kitatitwatto_cobra
  • Reply 7 of 43
    gatorguygatorguy Posts: 23,473member
    Just now I remembered something another member said just a few months ago, and that he assured us was true. That on-device file scanning and reporting to Apple that's assumed to be just about discovering child porn was claimed to have as much to do with upcoming Apple advertising plans. We thought he was nuts, but now I'm not so sure. 
    ctt_zhboboliciouscanukstormappleinsiderusergrandact73muthuk_vanalingamelijahg
  • Reply 8 of 43
    paxmanpaxman Posts: 4,712member
    If I pay for something I expect no ads. In fact that is the way I prefer it. 'Free' is never free and everybody knows it. I hope Apple will be very careful here. Having said that a ton of apps offer a pid version to remove ads. I personally don't mind that model. 

    lolliverkitatitelijahg
  • Reply 9 of 43
    gatorguy said:
    Just now I remembered something another member said just a few months ago, and that he assured us was true. That on-device file scanning and reporting to Apple that's assumed to be just about discovering child porn was claimed to have as much to do with upcoming Apple advertising plans. We thought he was nuts, but now I'm not so sure. 
    ... has the frog boiling been happening with every annual 'upgrade' since 2011...?
  • Reply 10 of 43
    Step 1. Make sure all third party ad business is crippled on iOS
    Step 2. Oh wait, we are leaving billions on the table, let’s ramp up our ad business
    Step 3. Profit
    muthuk_vanalingam
  • Reply 11 of 43
    If apple puts ads in core is apps, I'm  out.  That cheapens the product and knocks them down closer to the slime that is google. That would take the premium away from the product, so the only way it would be worth getting an iPhone is of they cut the price in half, or gave it away. I value not seeing BS ads and being spammed. 
    MrBunsideelijahg
  • Reply 12 of 43
    Let’s hope the Europeans step in and curtail Apple’s unwanted advertisements. Apple does seem to be losing it in many ways. 
    danoxelijahg
  • Reply 13 of 43
    crowleycrowley Posts: 10,453member
    docbburk said:
    If apple puts ads in core is apps, I'm  out.  That cheapens the product and knocks them down closer to the slime that is google. That would take the premium away from the product, so the only way it would be worth getting an iPhone is of they cut the price in half, or gave it away. I value not seeing BS ads and being spammed. 
    They already do.  I get bugged about subscribing to Apple Music pretty damn often.
    muthuk_vanalingam
  • Reply 14 of 43
    „Offer“.  Good one. 
    muthuk_vanalingamelijahg
  • Reply 15 of 43
    Things like this are going to lead me to becoming a Luddite.
    elijahg
  • Reply 16 of 43
    I see ads in the App Store, but the ads are for apps and usually show me something very similar to what I was searching for. This article says there are ads in News and Stocks but I don’t see any ads in either of those (unless links to news stories about the company whose stock ticker I’m currently viewing count as ads). 

    Can anyone show me what an ad in News or Stocks looks like?
    watto_cobra
  • Reply 17 of 43
    JP234JP234 Posts: 548member
    I see ads in the App Store, but the ads are for apps and usually show me something very similar to what I was searching for. This article says there are ads in News and Stocks but I don’t see any ads in either of those (unless links to news stories about the company whose stock ticker I’m currently viewing count as ads). 

    Can anyone show me what an ad in News or Stocks looks like?
    The very fact that you get ads for apps that show you things similar to what you bought or looked for, tell you that your activities are being monitored by Apple. It was just a matter of time before Apple decided to monetize that monitoring, in a fashion similar to Amazon's. Google, Facebook and other social media make virtually all their income from advertising. Companies like Apple and Amazon either make or sell products as the main source of revenue. As a shareholder, I welcome any increase in Apple earnings. As an Apple services user, I'll just use my dividends to pay for the things I use and forgo the ad-supported models. Win-win!
    watto_cobra
  • Reply 18 of 43
    davidwdavidw Posts: 1,691member
    crowley said:
    docbburk said:
    If apple puts ads in core is apps, I'm  out.  That cheapens the product and knocks them down closer to the slime that is google. That would take the premium away from the product, so the only way it would be worth getting an iPhone is of they cut the price in half, or gave it away. I value not seeing BS ads and being spammed. 
    They already do.  I get bugged about subscribing to Apple Music pretty damn often.
    If you are using an Apple device, then technically, that is not an "ad". Apple is not making any money from charging themselves for placing "ads" advertising their own products. That is Apple promoting one of their own product, on their own platform. (Not that it makes it any less bothersome.) But it's something that the EU DMA say that "gatekeepers" can not do because its anti-competitive and that crybaby CEO of Spotify gets all bent out of shape about (when it comes to Apple Music). Not sure if the UK will be enforcing this when the EU DMA goes into affect. But it was also one of the main issue of the US Senate bill (pertaining to promoting ones own product on ones own platform), that hasn't been voted on yet because it doesn't have enough support. 

    It's no different than me getting bugged all the time to purchase more iCloud space, whenever it runs low on one of my Apple devices. Or walking into a McDonalds and seeing big posters on their special deal to "super size" your meal. Or while watching a TV show, seeing a 15 seconds blurb during a commercial break, reminding you to  stay tune for a new episode of The Simpsons coming up next.   

    Now if you are getting bugged to subscribe to Spotify (or me getting bugged to purchase more One Drive space), while using an Apple app on an Apple device, then that's an "ad". Apple is charging and making money from placing those "ads" in their Apple apps.  When you do a Google search and there are links that has the word "AD" in bold text and in front of it, those are links to "ads", that Google is getting paid for placing in your search results.    
    pscooter63watto_cobra
  • Reply 19 of 43
    crowleycrowley Posts: 10,453member
    davidw said:
    crowley said:
    docbburk said:
    If apple puts ads in core is apps, I'm  out.  That cheapens the product and knocks them down closer to the slime that is google. That would take the premium away from the product, so the only way it would be worth getting an iPhone is of they cut the price in half, or gave it away. I value not seeing BS ads and being spammed. 
    They already do.  I get bugged about subscribing to Apple Music pretty damn often.
    If you are using an Apple device, then technically, that is not an "ad". Apple is not making any money from charging themselves for placing "ads" advertising their own products. That is Apple promoting one of their own product, on their own platform. (Not that it makes it any less bothersome.) But it's something that the EU DMA say that "gatekeepers" can not do because its anti-competitive and that crybaby CEO of Spotify gets all bent out of shape about (when it comes to Apple Music). Not sure if the UK will be enforcing this when the EU DMA goes into affect. But it was also one of the main issue of the US Senate bill (pertaining to promoting ones own product on ones own platform), that hasn't been voted on yet because it doesn't have enough support. 

    It's no different than me getting bugged all the time to purchase more iCloud space, whenever it runs low on one of my Apple devices. Or walking into a McDonalds and seeing big posters on their special deal to "super size" your meal. Or while watching a TV show, seeing a 15 seconds blurb during a commercial break, reminding you to  stay tune for a new episode of The Simpsons coming up next.   

    Now if you are getting bugged to subscribe to Spotify (or me getting bugged to purchase more One Drive space), while using an Apple app on an Apple device, then that's an "ad". Apple is charging and making money from placing those "ads" in their Apple apps.  When you do a Google search and there are links that has the word "AD" in bold text and in front of it, those are links to "ads", that Google is getting paid for placing in your search results.    
    In all meaningful senses it's an ad.  Pointless post.
    pscooter63muthuk_vanalingambeowulfschmidtelijahg
  • Reply 20 of 43
    anonymouseanonymouse Posts: 6,700member
    JP234 said:
    I see ads in the App Store, but the ads are for apps and usually show me something very similar to what I was searching for. This article says there are ads in News and Stocks but I don’t see any ads in either of those (unless links to news stories about the company whose stock ticker I’m currently viewing count as ads). 

    Can anyone show me what an ad in News or Stocks looks like?
    The very fact that you get ads for apps that show you things similar to what you bought or looked for, tell you that your activities are being monitored by Apple. It was just a matter of time before Apple decided to monetize that monitoring, in a fashion similar to Amazon's. Google, Facebook and other social media make virtually all their income from advertising. Companies like Apple and Amazon either make or sell products as the main source of revenue. As a shareholder, I welcome any increase in Apple earnings. As an Apple services user, I'll just use my dividends to pay for the things I use and forgo the ad-supported models. Win-win!
    Well, he said, "very similar to what I was searching for," which only tells you that along with your search results they returned ads related to those search results (not very invasive at all), which is not at all the same as, "your activities [generally] are being monitored by Apple [in a highly invasive, personally identifiable manner]." That kind of App Store ads are not really problematic.

    On the other hand, I think Apple should foreswear ad revenue as a significant revenue source. I believe Tim Cook when he expresses his commitment to not making Apple a privacy violation company like Google and Facebook. But, Tim Cook won't be at the helm forever, and he can't guarantee that the next CEO, or the next CEO after that won't forsake user privacy for revenue. What he can do is try to bake it into the culture at Apple that they aren't an advertising company, and the only way to do that is to very firmly put the brakes on now and steer the company forcefully in the opposite direction, to the point where it would be very difficult to turn back.

    Just like with government, depending on having the "best" people running companies doesn't guarantee freedom (from surveillance in this case). What guarantees freedom in both cases are institutions and culture that minimize the harm to freedom that "bad" leaders are able to cause. 

    edited August 15 watto_cobraJP234
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