iPhone users may soon be served more advertisements in Apple's native apps, as per Bloomberg's Mark Gurman. The Cupertino-based giant reportedly plans to expand its revenue model by serving ads to iPhone users in Maps, Books, and Podcasts apps. In fact, Gurman says that a model that displays search-based recommendations has already been tested for Maps app. Currently, iPhone users are served ads across App Store, News, and Stocks apps, as well as the TV+ platform for Friday Night Baseball as a part of its deal with Major League Baseball.
As per the weekly newsletter by Gurman, the expansion of ad business could prompt Apple to place ads in apps such as Maps. Gurman also says that the company has already explored an effort to add search ads to Apple Maps. Other apps that could get advertisements are Books and Podcasts.
Gurman also gives an idea how these placements could work. In the case of Maps, “a Japanese restaurant could pay money to rank at the top of local listings when users searched for ‘sushi', Gurman says. Similarly, publishers could pay for an ad for their work to appear higher in results in Books, Podcasts subscription could be tied to ads, and an ad-supported TV+ could offer older shows for a lower price as well as promote paid offering.
Currently, Apple shows advertisements on the App Store and News and Stocks apps for iPhone, iPad, and Mac. On the App Store, the ads are currently served in the search tab in the Suggested panel. Gurman claims that Apple is expected to soon expand ads to the main Today tab and within third-party app download pages. The News and Stocks apps show banner ads which are similar-looking to those on websites.
It is to be noted that Apple currently has App Tracking Transparency (ATT) framework in place which is claimed to enhance user privacy by limiting third party applications to collect data if the user chooses so. However, Apple is serving ads in native apps by using data from its services and Apple account to decide which ads to serve. The company says that its own apps do not come under ATT purview because the system “does not follow you across apps and websites owned by other companies.”
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