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Apple wants to give users more control over their privacy. Facebook resists this and criticizes it.
For many years, Facebook grew almost out of control. But now the group faces uncertain times: it is not only the violent criticism following the change in data protection regulations at the Facebook subsidiary WhatsApp. The European Union, which wants to better regulate big tech companies, is also a threat. As if that wasn’t enough, a power struggle with Apple is now unfolding.
Facebook’s annoyance with Apple
It all starts with a message from Apple a few months ago. The company announces that it wants to give users more control over their privacy. Users should have more options in deciding what to do with their data.
Adaptation of the privacy rules requires Facebook. The group fears that this will make advertising personalization less precise. As a result, Facebook’s ad revenue could be reduced. Because the group promises advertisers to reach the target group they want with advertising.
Legend:
Facebook boss Mark Zuckerberg harshly criticized Apple in a conference call.
Keystone
Facebook’s advertising clients – often small and medium-sized businesses according to the group – are, according to Zuckerberg, mostly those who suffer. They depend especially on personalized advertising.
Public conflict
Now, Facebook CEO Zuckerberg goes public about Apple. That’s why he said on a conference call: “I’d like to emphasize that we increasingly see Apple as one of our biggest competitors.” He sees a tactical motive in Apple’s approach: “Apple may claim that it is doing it to help people, but its footsteps clearly follow its competitive interests.”
Apple may claim that it does it to help people, but its moves clearly follow its competitive interests.
It doesn’t matter if Apple makes the adjustment for self-interest or not for profit. This is likely to cause some headaches for Facebook and many other companies. Apple sticks to the plan despite criticism.
Both companies defy the crisis
While many companies are suffering from the crown crisis, the two tech giants have so far survived the crisis largely unscathed. Both Apple and Facebook released the latest quarter numbers on Wednesday, and they’re compelling.
Apple posted record profits and surpassed quarterly sales of $ 100 billion. Facebook also grew significantly compared to the previous year. Revenues were $ 28.1 billion in the last quarter.
Legend:
The iPhone was by far Apple’s most important product last year.
Keystone
Apple and Facebook are doing very well financially. But now the two companies are on a confrontational course. A dispute between two tech giants over the privacy of their users. They both do good business with data – users will continue to pay for it.
