3 More Stocks That Could Benefit In 2021 From Apple's Move to End User Activity Tracking
Starting in early 2021, Apple (NASDAQ: AAPL) will begin prompting users to opt in or out of application activity tracking. Alphabet's (NASDAQ: GOOGL)(NASDAQ: GOOG) Google is expected to eventually follow suit, rewriting -- at least in part -- how mobile advertisers and app developers make money. Last month, I listed five companies that could benefit from the coming changes. Digital Turbine (NASDAQ: APPS), Cardlytics (NASDAQ: CDLX), and Unity Software (NYSE: U) are three more that could win from the end of user activity tracking.
Devices like smartphones, tablets, and smart TVs are becoming a new type of digital retail ecosystem. Device manufacturers are a gateway to eyeballs, and thus a coveted distribution medium for advertisers and app developers. Digital Turbine has a direct relationship with over 40 mobile operators and device manufacturers (most of them utilizing Android), providing an outlet for ads and apps to get directly on a device and in front of the consumer.
To be fair, if individual app activity tracking does die off, it could hurt Digital Turbine in the short-term. After all, more granular data on individuals is highly coveted and fetches premium pricing. But that doesn't mean all activity tracking will go away. Digital Turbine can still help marketing teams make informed decisions on broad-based demand and get premium placement directly on a smartphone or other device, as well as help manufacturers themselves increase revenue by selling said placement of ads and apps onto their wares.
Source Fool.com
