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Apple, known for its gardening approach, is stepping into the world of AI-powered advertising. According to a report from Business Insider, Apple is testing a new tool that
Apple, known for its gardening approach, is stepping into the world of AI-powered advertising. According to a report from Business Insider, Apple is testing a new tool that uses artificial intelligence to optimize the placement of ads in the App Store, similar to what Google and Meta offer.
This new system, currently being tested with a selected group of advertisers, aims to simplify the advertising process. Advertisers simply tell Apple their budget, audience information, and preferred countries. AI then takes over, automatically determining the most effective placement of your ads in available App Store ad slots. This includes Search Tags, Search Results, You May Also Like suggestions, and ads that appear on the App Store Today homepage.
This change reflects Apple’s willingness to learn from industry leaders like Google and Meta, which have already developed successful AI-powered advertising platforms (Performance Max and Advantage+, respectively). Experts believe this is just the first step, as Apple has the potential to expand its AI-powered advertising efforts to other services like Maps, Apple TV+, Books, and even its recently launched sports app.
“Any automated tool like PMax [Performance Max]will require multiple placements to truly create value,” said Eric Seifert, an analyst and investor who specializes in mobile development. This dovetails with speculation from Bloomberg’s Mark Gurman, who previously suggested Apple’s advertising ambitions extend beyond the App Store.
What further supports this theory is that Apple recently hired Joseph Cady, an ad management expert with extensive experience in data-driven targeted advertising. Cady’s track record in partnering with big players like Amazon, Google and TikTok suggests Apple may be preparing to enter a more competitive advertising landscape.
Although Apple has not yet made an official comment about its AI-powered ad serving tool, Business Insider expects an official launch in the coming months. The move signals a potential shift in Apple’s advertising strategy that could see the use of artificial intelligence to personalize the user experience while creating new revenue streams.
Source: Port Altele
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