Snap, the parent company of Snapchat, claimed that recent privacy changes in Apple’s iOS mobile operating system had impacted its company by restricting some advertisers from tracking it. The company stated that while it expected some interruption as a result of the adjustments, the issues for advertising were worse than anticipated.
Snap recorded a stock drop of more than 20% recently, soon after the firm published quarterly results that fell $3 million short of its forecast. Snap’s most recent quarter saw revenue of $1.067 billion, up 57% from the same period the previous year.
According to Snap, advertisers were also hampered in their spending due to the pandemic and supply chain problems.
To accommodate to Apple’s privacy rules, the business said it was developing new technology and measuring solutions for advertising. Snap’s chief executive, Evan Spiegel, gave a statement saying –
“We’re now operating at the scale necessary to navigate significant headwinds, including changes to the iOS platform that impact the way advertising is targeted, measured, and optimized, as well as global supply chain issues and labor shortages impacting our partners.”