![3D Vector Conceptual Illustration of Web Cookie Tracking.](https://admonsters.com/wp-content/uploads/2024/07/React_Cookie_Pause-660-x-320.jpg)
Google’s latest announcement to halt the deprecation of third-party cookies in Chrome has sent shockwaves through the ad tech industry. Instead of phasing out cookies, Google plans to introduce a new user choice mechanism. This decision is sparking a range of reactions from industry leaders, who are both hopeful and cautious about the future of online privacy and advertising.
This week, Google threw the ad tech industry for a loop by announcing a significant shift in its privacy strategy. Contrary to its long-standing plan to eliminate third-party cookies from its Chrome browser, Google has revealed it will offer users the option to opt out of third-party cookies through a new choice mechanism. This unexpected pivot has sparked a flurry of reactions from publishers, advertisers, and industry stakeholders, many of whom have spent the past few years preparing for a cookieless future.
In a blog post by Anthony Chavez, VP of Privacy Sandbox, Google outlined its revised approach, emphasizing user choice and engagement with industry feedback. This move comes after four years of extensive testing and regulatory discussions, during which Google faced substantial pushback from industry players and regulators like the UK’s Competition and Markets Authority (CMA).
The original plan to phase out cookies had been postponed multiple times, with the latest delay pushing the deadline to 2025. Now, Google’s new path aims to balance privacy with the practical needs of the advertising ecosystem.
There are mixed reactions to this news. While some industry leaders express relief at the additional time to adapt, others remain wary of the potential implications for privacy and competition. The ad tech community is now grappling with questions about how Google will implement this mechanism and its impact on the broader industry. Below, we’ve gathered insights and opinions from key figures in the industry, offering a glimpse into the varied responses to Google’s surprising announcement.
Publishers React to Google’s Privacy Pivot: Balancing User Choice and Industry Innovation
In light of Google’s recent decision to let users choose between Sandbox and legacy cookie behaviors, publisher’s reactions vary. Some expect a shift towards user opt-outs rather than forced changes, while others are hopeful for a balanced approach that maintains innovation and effective monetization. There are calls for transparent messaging without fear-mongering and a recognition that Google is grappling with the complexities of balancing user privacy with meaningful ad experiences.
“The news is confirmed. I think we’ll see aggressive messaging pushing users to opt-out, instead of a forced deprecation effort.” – Justin Wohl, Chief Revenue Officer, Snopes.com
“This transition was never going to be easy. Google’s announcement that users will be able to choose between Sandbox and legacy behavior seems to offer the best of both worlds. It places the decision where it belongs, in the hands of the consumer, instead of any large technical organization.
We’re looking forward to continuing our innovations in both environments, and we’re hopeful this doesn’t imply the CMA will release Google from their commitments in exchange for a small minority of users being able to opt into cookies. We won’t back off our ongoing investment in audience addressability using Sandbox technology so advertisers can reach all consumers, and our publishers will enjoy our industry’s best monetization however the consumer or their browser chooses to consume advertising.” – Patrick McCann, SVP of Research, Raptive
“I think Google’s decision is about removing deadlines and finding solutions that can work (and hopefully be more broadly supported) for the industry. Google already offers users the ability to remove third-party cookies in Chrome, so publishers will need to understand better how implementing this “new experience” plays out to understand the impact of this change.” – Emry Downinghall, SVP, Programmatic Revenue & Strategy Unwind Media
“I’m very interested to see more details come out following Google’s initial announcement. I’m relieved at the step back, mainly because the proposed alternatives to date weren’t sufficient, and the industry wasn’t ready. The concept of actual damage due to third-party cookies and tracking has gotten overblown – offering a choice makes sense. I’m hopeful that the messaging around that choice won’t be skewed to elicit fear and will present a clear option to toggle them off if the site visitor is bothered by the idea of third-party cookies. Let’s not participate in fear-mongering this time around, a la ATT.” – Catherine Beattie, Director of Programmatic, Weatherbug
“As Google wrestled with balancing privacy and delivering a relevant ad experience to every user, I believe they were forced to identify exactly how much data is too much data. If we are honest with ourselves there are probably about five or so personally identifiable elements that are needed to provide a meaningful experience and meet the request of advertisers. Broad concern that it has passed the point of need to greed drove the push for Google to go cookieless. Unraveling this invasive practice has become nearly impossible for Google without being completely blind to any user behavior. I’m glad that this forced Google to be honest about the state of advertising and its needs and wants in this ecosystem.” – Terry Guyton-Bradley, Senior Director of Advertising Technology, Fortune
“The news isn’t a shock, but I hope the fact that we still will have 3P cookies doesn’t stall the progress made around targeting without cookies. Preparing for life without cookies forced publishers to think about ways to get closer to their audiences, and I think that is ultimately a good thing. So, I hope they still push for that moving forward.“ – Kevin Antione, Head of Digital Inventory Optimization, Graham Media Group
“I was not surprised to see Google’s announcement that it would pause the deprecation of third-party cookies. Looking ahead, there is no changing the fact that cookies will still be deprecated within Google Chrome, even if a small percentage remains. With at least 60% of the web being unaddressable by cookies at the moment, the focus should be on solutions that work for cookieless environments. I advise my clients to stay the course and continue weaning into a cookieless future. While the sandbox will be an important part of the ecosystem in the future, the short-term focus should be on more immediate and tangible solutions beyond just the sandbox.” – Scott Messer, Principal and Founder, Messer Media
Ad Tech Leaders React: The Impact of Simplified Opt-Outs on Consumer Choice and Ad Revenue
The conversation around third-party cookies and privacy continues to evolve. Efforts to simplify opt-out processes for third-party cookies are a step towards greater consumer control, although the broader impact on advertising and data collection practices remains significant. Industry leaders stress the need for privacy-focused solutions that balance user protection with the realities of digital advertising.
“The CMA needs to be wary of letting Google off the hook by accepting Apple’s dark choice patterns. AdMonsters’ readers need to write to the CMA before 12 August to resist remedies involving user prompts controlled by monopolists. Remedies that enable transparency across data controllers and processors, including within Google’s own data engine, are preferable.
If notices are to be used then they must be applied equally to each of Google’s own services and products to avoid creating disparity. For example; when using sign-in-with-Google to collect so-called first-party data any user prompt needs to be identical to the one used with Chrome for so-called third-party data. CMA has the power to require this in the remedy and policy implementation. It is not a matter for data protection authorities like the ICO.
The industry narrative now needs to move towards quarantining web browsers by restricting them to access and navigation only. Web browsers must be separated from the monopolists’ other interests. W3C has a role in enforcing its antitrust guidelines to ensure fair play and prevent further privacy abuses in standards setting.” – James Rosewell, Co-Founder, Movement For an Open Web
“Deprecating cookies in the world’s most used web browser was never going to be easy. This effort has been fraught with challenges, from antitrust and privacy concerns to the impact on ad revenue. While this announcement may feel like a reversal, I don’t think we should view it as a return to the status quo.
Introducing a feature that will allow users to declare their preferences across all browsing activities is significant. This sounds like a global privacy control that consumers may actually use. If that’s the case, the efforts invested in testing privacy-preserving APIs and introducing alternative identifiers will pay off. The use of third-party cookies will continue to get scrutiny from regulators, and when given an easy-to-use choice, consumers may choose to opt out.
The data faucet has been slowly turning down, and with or without an official deprecation of third-party cookies, the industry needed a push to consider alternative solutions. Moving towards solutions that can balance the need to protect consumer privacy with the understanding that advertising powers the open web is a worthwhile endeavor, and I hope to see those efforts continue (albeit without the pressure of an impending deadline).” – Jessica B. Lee, Partner, Co-Chair, Privacy, Security & Data Innovations at Loeb & Loeb LLP
“When third-party cookie opt-out is made simple, people overwhelmingly say no, evidenced by the impact of GDPR in Europe, where over 90% of people have opted out. Forty percent of people who use Chrome have already said no, and that is when disabling cookies is hard, let alone easy. Google is using consumer choice as the cloak, killing the third-party cookie without necessarily providing an alternative solution, similar to Apple and ATT.
The vast majority of users online are already unreachable due to signal loss in the open web today, causing publishers’ OMP yields to collapse. For advertisers, this signal loss means bidding on an ever-smaller group of users, pushing up CPMs, and reducing the perceived efficiency of open web buying.
There is another way for advertisers to build brand equity, grow market share, and drive performance in programmatic. It lies in publisher first-party signals and data collaboration between data owners—advertisers, and media owners. When these data owners collaborate, it is not only enormously scalable but also performant, delivering increased yield for publishers, incremental sales, and reduced cost per acquisition for advertisers.” – Joe Root, CEO & Co-founder, Permutive
“While some might see this as a relief, it’s a clear signal that the industry must diversify its strategies and focus on privacy-first technologies. We shouldn’t view this as a chance to return to old ways but as an opportunity to continue innovating and building a more resilient digital advertising future.” – Yang Han, CTO of StackAdapt
“Consumers are the beating heart of our industry, and I support Google’s decision to elevate consumer choice when it comes to cookies. Google is toeing the line between clients and customers, and they have already made improvements to Privacy Sandbox after many months of work. However, it benefits everyone if they have more time to perfect better identity-protecting strategies without harming Q4 revenues.
Regardless of Google’s decision, privacy regulations are ever-evolving and our industry should remain committed to enabling advertisers and publishers to succeed with privacy-first strategies. Apple has blocked cookies by default from Apple for years, and now that Google is following suit, advertisers should be prepared to meet their audiences where they are. Many consumers will likely choose to opt out of third-party cookies, and protecting the user journey will be key.
Google’s news today sets the tone for a privacy-centric future driven by the consumer, and the industry should continue to work together to leverage alternative IDs and other more privacy-focused solutions like contextual alongside existing signals (e.g., audience, performance). Publishers and advertisers must continue to navigate these transitions and build a strong, privacy-friendly data culture built on collaboration, trust, and a test-and-learn mentality, that keeps the consumer top of mind.” – Jenn Chen, President and CRO of Connatix
“This recent – and hopefully – final decision boils down to placing users in the driver’s seat regarding privacy. But this is a nothing-burger in many ways, as advertisers have already been on a cookie-less road. The digital advertising ecosystem will experience less disruption in the short term. Still, it could face long-term challenges related to privacy concerns, regulatory pressures, and the eventual need to adapt to a more privacy-focused environment. As XR has recently implemented IAB’s ACIF, we’re revolutionizing creative tagging throughout its lifecycle, driving the future of measurement and identity. This leadership positions us decisively ahead as others scramble to understand and adapt to the changing landscape.” – Jo Kinsella, President of XR Extreme Reach
“Viant has estimated that less than 10% of total ad spend across our platform utilizes cookies today, which is indicative of an industry that has already moved on. The increasing importance of new channels such as CTV, which never relied on third-party cookies, has only expedited their diminishing utility. Ultimately, advertisers want contribution, not attribution, toward their real goals like return on ad spend.” – Jon Schulz, Chief Marketing Officer, Viant
“Google’s decision to create consumer choice with the advertiser use of their own data, signals two things. First, Google needs additional time to get the Privacy Sandbox to perform at a level that reduces disruption to their core business model. Thus far, sparse and unconvincing tests have proven that the Privacy Sandbox is not ready for the big show and they need more time. Second, is that complexity is not a concern. Depending on the functionality, there will be parallel data supply paths. In short, buckle up for more disruption in the coming months and years.”(Read more insights) – Therran Oliphant, Chief Strategy Officer, Hand Raiser Marketing