Apple’s iAd has been around for a bit of time now, and seemed like a good companion to things like Apple News, which launched in 2015. However, turns out Apple’s making some changes.
According to a report published by BuzzFeed News, Apple is “stepping back” from its role as creator, manager, and executor of the ads present on the platform. It’s said that the Cupertino-based company won’t be getting rid of iAd altogether, but will simply be handing over the reigns to the publishers, letting them create, manage, and sell those ads on their own. This means the sales and creation teams within iAd are getting shuttered.
As a result, for the publications that want to go this route, and handle the advertisement on their own through iAd, they’ll be getting another nice change: No more 70/30 split, which has been in place from Apple from the get-go with iAd. Instead, publishers that handle the advertisements on their own will see 100 percent of the ad revenue.
Apple is making this change, according to an unnamed source, because ads are “just not something we’re good at.” This news comes on the heels that Apple has been underestimating the overall readership of those utilizing Apple News, thanks to a glitch that showed the wrong number of readers accessing the content through Apple’s proprietary app.
“While iAd itself isn’t going anywhere, Apple’s direct involvement in the selling and creation of iAd units is ending. “It’s just not something we’re good at,” one source told BuzzFeed News. And so Apple is leaving the creation, selling, and management of iAds to the folks who do it best: the publishers.”
This will inevitably mean that there’s more work for publishers and their own ad agencies moving forward, but the rewards sound like it might be worth the effort.
[via BuzzFeed News]