Facebook Reports Record Ad Revenue for Q2 2021, Despite Apple's iOS Privacy Changes

Undeterred by Apple's recent anti-tracking privacy changes, Facebook continues to rake in billions in advertising revenue, as evidenced by its latest fiscal 2021 second quarter results announced Wednesday.

Facebook Feature
On the company's Q2 earnings call, the social network revealed it had accumulated $28 billion in ad revenue, representing a 56% year-on-year increase. That saw Facebook more than double its profits from the previous year, earning $10.4 billion, up from $5.2 billion in 2020.

Despite the figures for its main revenue stream, Facebook CFO David Wehner did note that the company expects to feel the brunt of Apple's App Tracking Transparency rules in the third quarter.

"We continue to expect increased ad targeting headwinds in 2021 from regulatory and platform changes, notably the recent iOS updates, which we expect to have a greater impact in the third quarter compared to the second quarter."

Apple in iOS 14.5 introduced App Tracking Transparency, which requires app developers to ask for express permission before accessing the IDFA for tracking users across apps and websites.

Prior to the enforcement of App Tracking Transparency, Facebook launched a campaign attempting to position Apple as an enemy of small businesses, and even took out full page newspaper ads decrying the new feature. "Apple's latest update threatens the personalized ads that millions of small businesses rely on to find and reach customers," reads Facebook's site encouraging small businesses to "add their voice" and speak out against ATT.

However, Facebook CEO Mark Zuckerberg in March began downplaying the potential impact of App Tracking Transparency and said that the changes could ultimately benefit Facebook if Apple's new policies encourage businesses to advertise and sell exclusively through Facebook platforms.

According to early data from the ad-measurement firm Branch Metrics, less than 33% of iOS users have permitted apps to track them across other apps. The remaining 67% of iOS users opted not to permit apps to track their activity. As a result, the amount of advertiser spending on Apple's mobile platform has fallen by about one-third between June 1 and July 1, causing advertisers to spend more money targeting Android users instead.

During Wednesday's earnings call, Facebook said the number of active users across Facebook, Instagram, and WhatsApp has increased by 12% year-on-year, with 2.76 billion people now counting as daily active users.

Top Rated Comments

ikir Avatar
36 months ago
Facebook must die
Score: 45 Votes (Like | Disagree)
Evangelion Avatar
36 months ago
We need to cleanse the Earth of Facebook and their filth.
Score: 28 Votes (Like | Disagree)
mymacrumorsname Avatar
36 months ago
I really don't understand why companies spend money on online ads. I never bought anything through an online ad unless I was explicitly searching for it because I had the wish to buy this product anyway because heard of it from friends or in news. Offline ads have had an impact me on me a few times. But online, NO.
Score: 15 Votes (Like | Disagree)
mazz0 Avatar
36 months ago
But all the world's small businesses have gone bust :(
Score: 13 Votes (Like | Disagree)
Glideslope Avatar
36 months ago
The Cancer on Humanity must be removed.
Score: 12 Votes (Like | Disagree)
senttoschool Avatar
36 months ago

Facebook account: deleted
Whatsapp : deleted
Instagram : deleted
TikTock : never had one.
Macrumors account: Created 3 days ago
Score: 8 Votes (Like | Disagree)

Popular Stories

Provenance Emulator

PlayStation, GameCube, Wii, and SEGA Emulator for iPhone and Apple TV Coming to App Store

Friday April 19, 2024 8:29 am PDT by
The lead developer of the multi-emulator app Provenance has told iMore that his team is working towards releasing the app on the App Store, but he did not provide a timeframe. Provenance is a frontend for many existing emulators, and it would allow iPhone and Apple TV users to emulate games released for a wide variety of classic game consoles, including the original PlayStation, GameCube, Wii,...
Delta Feature

Delta Game Emulator Now Available From App Store on iPhone

Wednesday April 17, 2024 9:58 am PDT by
Game emulator apps have come and gone since Apple announced App Store support for them on April 5, but now popular game emulator Delta from developer Riley Testut is available for download. Testut is known as the developer behind GBA4iOS, an open-source emulator that was available for a brief time more than a decade ago. GBA4iOS led to Delta, an emulator that has been available outside of...
iPad Air 12

12.9-Inch iPad Air Now Rumored to Feature Mini-LED Display

Thursday April 18, 2024 7:37 am PDT by
The rumored 12.9-inch iPad Air that is expected to be announced in May will be equipped with a mini-LED display like the current 12.9-inch iPad Pro, according to Ross Young, CEO of research firm Display Supply Chain Consultants. The existing 10.9-inch iPad Air is equipped with a standard LCD panel, and the move to mini-LED technology for the 12.9-inch model would provide increased brightness for...
iPhone 15 Pro Action Button Translate

All iPhone 16 Models to Feature Action Button, But Usefulness Debated

Tuesday April 16, 2024 6:54 am PDT by
Last September, Apple's iPhone 15 Pro models debuted with a new customizable Action button, offering faster access to a handful of functions, as well as the ability to assign Shortcuts. Apple is poised to include the feature on all upcoming iPhone 16 models, so we asked iPhone 15 Pro users what their experience has been with the additional button so far. The Action button replaces the switch ...