How does the iOS restriction "Force limited ad tracking" work?

How does the iOS restriction "Force limited ad tracking" work?

Apple outlines the functionality of limited ad tracking here.  Essentially, users that have this option enabled can expect to experience a lower amount of targeted ads when using applications and browsing the internet.  Note that this does not eliminate ads altogether, they just won't be specifically targeted to a user based on usage habits.  When using a particular application or viewing a particular website, the ads may still be related to the content of the application or website itself, but wouldn't be related to any external usage factors.

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