When many social media platforms expressed dissatisfaction with Apple’s recent iOS privacy protection measures, Twitter said on Tuesday,The change in requiring users to choose to accept ad tracking has a lesser-than-expected impact on ad revenue.
Citing CNBC reports,Twitter’s third-quarter earnings were basically in line with analysts’ forecasts, with total revenue of US$1.284 billion, which was almost the same as Wall Street’s expectations.
Although the industry is worriedAppleThe new application tracking transparency feature will destroy the mobile advertising business, but Twitter’s revenue still increased by 37% year-on-year. Twitter told investors that the impact of App Tracking Transparency (ATT) on revenue was lower than expected, adding that the impact in the fourth quarter will be “moderate.”
ATT was enabled with the release of iOS 14.5 earlier this year. This set of iOS system features limits the availability of ad targeting and indicator tools, and requires third-party applications to obtain user permission before tracking users across applications and websites. Without the detailed audience data obtained from user tracking, the value of digital advertising to advertisers is not high.
Twitter pointed out that the growth rate of advertising revenue has slowed down from the second quarter, but in the period ending in September, it still managed to generate $1.14 billion in revenue. This figure is an increase of 41% over last year’s performance.
Digital advertising brokers, companies, and online platforms have all expressed concerns about ATT, and some companies that rely on advertising sales have also felt pressure. Last week, Snap’s stock price plummeted because of news that Apple’s privacy changes disrupted the social media company’s business. This result has dragged down the stock prices of some competitors, because investors regard Snap as a vane of industry performance in the post-ATT era.