Apple recently decided on new ad placements in the iPhone App Store. This opened up the main Today tab, the “You Might Also Like” section and also a few other locations on the App Store to ad placements.
However, users were soon bombarded with ads for various Gambling apps. Along with users, even developers took to twitter to show their outrage against this move.
Just visited my the product page for Runestone, one of my apps, 10 times. 3/10 times the product page showed an ad for online gambling. pic.twitter.com/bNAJsasqwB
— Simon B. Støvring (@simonbs) October 25, 2022
As noted by Arment, Apple provides advertisers with the choice to have their ad shown in app categories different than their own app’s category, allowing ads for gambling ads to appear in listings for unrelated apps like the podcast app Overcast.
Now my app’s product page shows gambling ads, which I’m really not OK with.
Apple shouldn’t be OK with it, either.
The App Store has corrupted such a great company so deeply. They make so much from gambling and manipulative IAPs that they don’t even see the problem anymore. https://t.co/MnNlf7k0kT
— Marco Arment (@marcoarment) October 25, 2022
Finally, after all the visible outrage, the Cupertino Giant has paused the listing of Gambling apps in the Apple App Store. In a reply to MacRumors, Apple stated “We have paused ads related to gambling and a few other categories on App Store product pages.“.
The keyword in the statement is ‘paused‘, and Apple certainly isn’t pulling the plug on the very lucrative gambling and sports betting industry. The company will probably try and moderate it better going forward, perhaps by restricting gambling ads to a few categories on the App Store.
The market is also focused on the outlook for Apple’s services revenue, prized because it tends to be less volatile and more profitable than hardware sales. Services revenue has outpaced growth overall for the last three quarters, and that trend is expected to continue in Q4 with a 9.6% services revenue gain year-over-year
A lot of Silicon Valley companies are finally feeling the heat of the recent global economic headwinds. Even a company like Apple had to order production cuts across its iPhone lineup. And in such global conditions, the company would certainly look at its ads and services business more to maintain decent growth.