Snap Inc. (NYSE: SNAP) Risking anger Apple Inc. The Financial Times reported on Friday that Apple (NASDAQ: AAPL) is discussing how to circumvent iPhone manufacturers’ new privacy rules, which are expected to be introduced in the next few weeks.
what’s happening: The Financial Times cited internal company documents as reporting that Snap, the parent company of instant messaging app Snapchat, explored ways to collect data from companies. These companies analyzed whether people responded to advertising campaigns.
According to reports, Snap hopes to cross-reference data through its user database and then track users through a technique called “probabilistic matching.”
Although Snap admitted that it has run a probabilistic matching program for several months to test the impact of Apple’s new policy, the company said it plans to discontinue the program after Apple introduces the changes.
See also: Snapchat parents will launch AR glasses and drones to further promote hardware development: report
Why is it important: Apple’s upcoming privacy changes will provide users with more privacy rights from mobile advertising, but they are not popular among application developers, many of which are small businesses. According to Apple, this new feature will require apps to obtain user permission before tracking users.
According to reports, Snap is not the only company exploring to bypass Apple’s new privacy rules in order to continue tracking users without their permission. There were reports last month that Apple had warned Chinese app developers and technology companies not to shy away from new privacy regulations.
The five largest technology companies in China, including Baidu Company (Nasdaq: BIDU), Tencent Holdings Limited (OTC code: TCEHY) and Byte beating It is said that the CAID system developed by the State-backed China Advertising Association is being tested or implemented in order to identify and track users in the future. According to reports, other proposed solutions use a process called fingerprint recognition.
Facebook Inc. (Nasdaq stock code: FB), the second largest recipient after advertising revenue Alphabet Inc. (NASDAQ: GOOG) (NASDAQ: GOOGL) has been severely criticizing Apple’s privacy rule changes for months, saying that these changes may affect targeted advertising on its platform. However, Facebook CEO Mark Zuckerberg said last month that if more companies decide to sell goods directly through Facebook and Instagram, the changes to the rules may benefit his company.
Price action: Snap shares rose 4.2% on Thursday to close at $54.49, and Apple shares rose 0.7% to close at $123.00.
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