Apple has made “material” changes to its iTunes privacy policy, including a section related to the company’s upcoming iAd mobile advertising platform that gives users the option of opting out of the service, according to “iLounge” (http://www.ilounge.com/index.php/news/comments/apple-sneaks-iad-opt-out-into-itunes-store-update/).
“Apple and its partners use cookies and other technologies in mobile advertising services to control the number of times you see a given ad, deliver ads that relate to your interests, and measure the effectiveness of ad campaigns,” the text says. “If you do not want to receive ads with this level of relevance on your mobile device, you can opt out by accessing the following link on your device: http://oo.apple.com. If you opt out, you will continue to receive the same number of mobile ads, but they may be less relevant because they will not be based on your interests. You may still see ads related to the contrent on a web page or in an application or based on other non-personal information. This opt-out applies only to Apple advertising services and does not affect interest-based advertising from other advertising networks.”
iAds combine the emotion of TV advertising with the interactivity of Internet advertising, according to Apple CEO Steve Jobs. iAds will kick off with mobile ad campaigns from leading global brands including AT&T, Best Buy, Campbell Soup Company, Chanel, Citi, DirecTV, GEICO, GE, JCPenney, Liberty Mutual Group, Nissan, Sears, State Farm, Target, Turner Broadcasting System, Unilever and The Walt Disney Studios.
Apple has iAd commitments for 2010 totaling over US$60 million, which represents almost 50 %of the total forecasted US mobile ad spending for the second half of 2010, says Jobs. He adds that iAd, which is built into iOS 4, allows users to stay within their app while engaging with the ad, even while watching a video, playing a game or using in-ad purchase to download an app or buy iTunes content.
Developers who join the iAd Network can incorporate a variety of advertising formats into their apps. Apple will sell and serve the ads, and developers will receive 60% of the iAd Network revenue, which is paid via iTunes Connect.