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Apple's privacy push cost Meta $10B

economist.com

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Re: Apple's privacy push cost Meta $10B

#81

Facebook failed to pay the big money to Apple that they should have been paying for years. If Zuck had been handing Apple $5,000,000,000 per year as google does, then Apple would never have kneecapped Facebook. Larry and Sergei know how the protection racket works. You pay your dues to the local mob, you get to do business in their street corners. What do google pay Apple $5b for? Ummm… to be in the search of Safari.…

Only true in the US though.

Re: Apple's privacy push cost Meta $10B

#82

Facebook failed to pay the big money to Apple that they should have been paying for years. If Zuck had been handing Apple $5,000,000,000 per year as google does, then Apple would never have kneecapped Facebook. Larry and Sergei know how the protection racket works. You pay your dues to the local mob, you get to do business in their street corners. What do google pay Apple $5b for? Ummm… to be in the search of Safari.…

This is double bullshit:

1. All Apple did was giving users a choice (and they should've done that ages ago). If users didn't mind being tracked, or liked the "more relevant adverts" tracking provides, they would not have opted out.

2. Google is subject to exactly the same rules as Facebook is. Their apps have to ask for permission to track as Facebook's do, and Safari (which enforces privacy in many ways, too) is the same for google.com as for facebook.com.

They pay Apple for being search provider in Safari and Siri the same way they pay Mozilla, because searches mean data and displayed adverts.

Re: Apple's privacy push cost Meta $10B

#83

There's a whole ecosystem of businesses that rely on Facebook that are going to start hurting a lot over the next few years. I used to work at a publisher where 80% of their website traffic came from Facebook. They haven't seen audience growth in years and their audience is skewing older and older, which is bad for their advertising business Businesses like that are going to get steadily squeezed both by Facebook's d…

> There's a whole ecosystem of businesses that rely on Facebook that are going to start hurting a lot over the next few years.

Starting? Did these publishers not learn anything from the whole Facebook Video debacle? [1] Also, who at these companies thinks tying their core business to a single, third party is a good idea?

[1] https://www.theverge.com/2018/10/17/17989712/facebook-inaccu...

Re: Apple's privacy push cost Meta $10B

#84

Facebook failed to pay the big money to Apple that they should have been paying for years. If Zuck had been handing Apple $5,000,000,000 per year as google does, then Apple would never have kneecapped Facebook. Larry and Sergei know how the protection racket works. You pay your dues to the local mob, you get to do business in their street corners. What do google pay Apple $5b for? Ummm… to be in the search of Safari.…

This suggests Google should charge FB a few billion per year, lest they implement the same feature in Android. They could spin it as a research partnership to investigate the social effects of platform tracking. As long as partners keep paying, the research can continue, but once they stop paying it's time to act on the research results...

Re: Apple's privacy push cost Meta $10B

#85
post #84

Facebook failed to pay the big money to Apple that they should have been paying for years. If Zuck had been handing Apple $5,000,000,000 per year as google does, then Apple would never have kneecapped Facebook. Larry and Sergei know how the protection racket works. You pay your dues to the local mob, you get to do business in their street corners. What do google pay Apple $5b for? Ummm… to be in the search of Safari.…

This suggests Google should charge FB a few billion per year, lest they implement the same feature in Android. They could spin it as a research partnership to investigate the social effects of platform tracking. As long as partners keep paying, the research can continue, but once they stop paying it's time to act on the research results...

Thing is on Android, hardly anyone pays for everything. No money from iOS, no money... Many people i know say that Facebook ads simply stopped working. You pour in $100K and... nothing happens.

Re: Apple's privacy push cost Meta $10B

#87
post #82

Facebook failed to pay the big money to Apple that they should have been paying for years. If Zuck had been handing Apple $5,000,000,000 per year as google does, then Apple would never have kneecapped Facebook. Larry and Sergei know how the protection racket works. You pay your dues to the local mob, you get to do business in their street corners. What do google pay Apple $5b for? Ummm… to be in the search of Safari.…

This is double bullshit: 1. All Apple did was giving users a choice (and they should've done that ages ago). If users didn't mind being tracked, or liked the "more relevant adverts" tracking provides, they would not have opted out. 2. Google is subject to exactly the same rules as Facebook is. Their apps have to ask for permission to track as Facebook's do, and Safari (which enforces privacy in many ways, too) is the…

> 1. All Apple did was giving users a choice (and they should've done that ages ago). If users didn't mind being tracked, or liked the "more relevant adverts" tracking provides, they would not have opted out.

The choice existed for a long time. What Apple did was make that choice front and centre for everyone, as opposed to being buried in a settings menu for privacy-conscious people to hunt down.

Re: Apple's privacy push cost Meta $10B

#88

As a rough datapoint, I run a consumer targeted e-commerce site. We ran a campaign before Christmas were we were selling a new product that was only marketed on Facebook, we are certain that (almost) all customers found it though that Facebook campaign. Facebook was only able to attribute about 50% of the sales to the ads, it should have been close to 100%. This then meant that Facebooks estimated CPA was effectively…

Agreed. For advertisers with larger budgets, marketing mix models are still the only way to understand the relative performance of FB, Google, TV etc. - each of which is a "walled garden" that doesn't exchange data with others.

FB marketing is effective, question is at what price. If those prices drop, ad dollars will flow back. It will take a few quarterly modeling cycles to reflect this though.

The contra-contrarian view is this: FB, Google have an unusual mix of large, medium and small advertisers all bidding for the same inventory. That's what makes FB and Google somewhat immune to large advertiser pricing pressures (and issue of the day spend bans). However, only the larger advertisers have budgets for complicated cross-publisher modeling. If organic FB tools show higher CPAs, it will drive the smaller marketers to other platforms causing some interesting feedback loops.

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