Apple Rolls Out Major New Privacy Protections For iPhone Users

It is no secret the apps we use track our online habits and build a profile that’s used to send us targeted advertisements, but that's changing for people Apple device owners.

People who upgrade the operating system on their iPhones and iPads are now seeing something new when they open an app - an app-tracking transparency prompt. Apple developers describe it as a feature that offers a choice on how apps use and share data.

Apps can track online behavior, including shopping habits, location, age and even medical data. That information is used to target us with specific ads. Apple’s latest software update forces companies to ask for permission.

It is expected that most users will not grant that permission, which could lead to big changes in online advertising.

"Some are even calling this the ad-pocalypse," says CBS News Tech Reporter Dan Patterson. He says app developers and ad companies stand to lose billions of dollars, “because they'll simply no longer be able to build businesses around selling targeted ads."

Facebook is one of the apps fighting against the Apple change. Earlier this year, the social network took out ads arguing that the change will limit how small businesses reach customers. But, marketing experts, like Metaforce Co-Founder Allen Adamson say even with the new permission, apps will still be able to gain some insight about users.

"This allows you to still help advertisers make your messages relevant without telling them what you're doing Tuesday afternoon at 2 p.m.," says Adamson. “There'll be some new technology. It will change things. But it's not going to disable the marketplace at all."

Google is reportedly looking into anti-tracking software for Android devices, possibly giving its users the option one billion iPhone owners now have.