The Strategist

European publishers fear to lose advertising revenue

05/29/2017 - 15:35

European publishers fear that the offer to give online users an opportunity to turn off transfer of data on their movements on the Internet to all sites is dangerous. According to them, it will immediately lead to lost advertising revenue. However, mainly American corporations such as Google, Apple and Facebook will benefit in this case.

Heads of more than 30 European publishers sent a collective request to the European Parliament and the European Council to reject introduction of new amendments to the legislation regulating the privacy of data on the Internet during. Otherwise, the media may lose advertising revenues almost in full, says the letter signed by CEOs of the Financial Times, The Guardian, Le Monde, Le Figaro and Die Zeit.

It is about introducing the so-called privacy principle by default, when users will have an opportunity to refuse to transmit data about their movements on the Internet. This information is usually written in small files, called cookies, and is transferred to various sites. At the same time, users are now notified that this information is collected, and are given an opportunity to refuse any specific site. In January, the European Parliament received a proposal to introduce an obligatory function that will allow to forever refuse transfer of cookies to all sites.

Information about which sites are visited by users is extremely important for targeted advertising. Media representatives believe that adoption of this amendment will lead to the fact that most users will refuse such surveillance in principle, which means that the publishers will be deprived of their opportunity to select advertisements for specific users. As a result, this information will only be available for technology giants such as Google, Apple, Facebook and Mozilla, through whose products people go online: "Given that 90% of the traffic in Europe comes from just four companies - Google, Apple, Microsoft and Mozilla, this proposal can only aggravate the asymmetry in the market between private publishers and these global corporations", the letter said.