On January 4th, Google launched its new Tracking Protection feature, aimed at limiting website access to third-party cookies. Initially impacting a modest 1% of Chrome users globally, this change offers a preview of the future of online navigation without relying on third-party cookies.
After four years of adjustments and challenges, it’s official: Google is gradually phasing out third-party cookies from Chrome. This signifies not just the conclusion of an era but the commencement of a new and intricate chapter in online advertising—a terrain as unpredictable as it is unexplored.
Why the Move Away from Cookies?
The decision to phase out cookies aligns with a broader industry trend focused on enhancing user privacy and data protection. While cookies have been a cornerstone of online advertising, enabling advertisers to track user behavior across websites, concerns about user privacy prompted this significant shift.
Predicting the Deadline for Chrome’s Third-Party Cookies:
After numerous delays reminiscent of an endurance race, the plan to eliminate Chrome’s third-party cookies has finally kicked off. Google aims to remove third-party cookies from 1% of traffic on its Chrome browser. Once this milestone is reached, the restriction will pause as regulators examine Google’s alternatives to third-party cookies. This evaluation is expected to conclude sometime in the second half of the year. Following this, the elimination of cookies will resume, to make Google’s browser completely free of them by year-end.
Could the Timeline Change?
Certainly, there is potential for another delay. Despite Google’s assurances, regulatory hurdles, time constraints, and technological challenges could extend this timeline until 2025.
Google’s hands are tied by the UK’s Competition and Markets Authority (CMA) concerning the elimination of third-party cookies in Chrome. Everything hinges on the CMA giving the green light, a process that won’t conclude until the regulatory body scrutinizes all the details. Subsequently, there will be a “cooling-off” period lasting 60 to 120 days, during which the CMA can investigate without Google’s changes already in effect. This situation puts Google in a precarious position.
If the CMA takes the full 120 days, Google must remove cookies by late September. Any delay could clash with the holiday season’s advertising boom, an outcome Google aims to avoid at all costs. So, what’s likely to happen? Either Google races against the clock to remove third-party cookies, or it falls behind and waits until early 2025. Considering the twists in the plot so far, betting on cookie removal in early 2025 seems like a reasonably solid bet.
Implications for Publishers, Advertisers, and Ad Tech Partners:
With the imminent 100% cookie deprecation deadline, there’s a pressing need for innovation. Stakeholders must explore and implement new technologies and strategies aligned with the evolving landscape. This period of change also presents an opportunity for the industry to redefine its practices, placing a stronger emphasis on user privacy.
The move towards cookie deprecation poses a challenge for the entire digital ecosystem. Publishers, advertisers, and their ad tech partners must now reassess their strategies and swiftly embrace alternative methods for conducting internet ad auctions.
For Instance, If Privacy Sandbox Gets Approval, Will the Advertising Industry Embrace It?
The array of technical, strategic, and privacy-related uncertainties around Privacy Sandbox makes it one of the few things the advertising industry can agree on right now. In other words, its future is far from clear, even if the CMA gives it the green light.
Why Are AdTech Providers So Concerned About Sandbox?
Not all AdTech providers see Privacy Sandbox as a problem. Given Google’s dominant position in the market, some may view collaboration with Privacy Sandbox as a strategic decision to stay relevant and competitive, facilitated by the trial grants Google offers.
On the other hand, some companies are not as complacent. They are reluctant to endorse Sandbox while their concerns about its potential to further consolidate Google’s dominance in advertising remain unaddressed.
Google’s initiation of cookie deprecation in Chrome marks a pivotal moment in the evolution of digital advertising. The industry is at the forefront of change, and stakeholders must proactively embrace new methods and technologies to navigate this transformative period successfully. As we bid farewell to cookies, we usher in an era that prioritizes user privacy while fostering innovation and resilience in the digital advertising landscape.
What are your bold predictions on this hot-button issue? Spill the tea with us! Let’s dive into it and hear your take.
