Google has scrapped plans to ban third-party cookies used in its Chrome browser. In a statement on 22 July 2024, Anthony Chavez VP of Google’s Privacy Sandbox, announced that Google is proposing an “updated approach” to elevate user choice “instead of deprecating third-party cookies”. The reversal follows challenges that Google has faced, including from the Competition and Markets Authority which had ordered a pause, due to concerns that it would cause a hindrance to competition and digital advertising. Similarly, there were concerns from advertisers – a key source of income for Google – who feared the loss of code used to track users on the internet would limit their scope in collecting data and personalising ads. However, whilst it will be a boon to some, the announcement will be a blow to those who have been developing alternative solutions, which may now be redundant. 

Whilst details are sparse, Google says that it plans to “introduce a new experience in Chrome”, allowing users to make informed choices about web browsing privacy. Google is currently “discussing this new path with regulators, and will engage with the industry”. Whilst in the development phase, Google confirmed that it will continue to make use of the Privacy Sandbox – a suite of tools that shift user data from third-parties to Google by tracking user online behaviour within the Chrome browner itself rather than through the use of third-party cookies. Google also intends to offer “additional privacy controls” and “plan to introduce IP Protection into Chrome’s Incognito mode”. 

Although Google says that it will provide users with more privacy controls, the Information Commissioner’s Office (“ICO”) reacted negatively stating it had been its “view that blocking third-party cookies” from the Chrome browser “would be a positive step for customers” (but that’s open to debate, as privacy concerns have been levied against alternative technologies that aimed to combat third-party cookie deprecation). The ICO will reflect on Google’s new course of action “when more detail is available”. The ICO also confirmed that it will continue to keep the digital advertising industry on their radar, to encourage “more private alternatives to third-party cookies - and not to resort to more opaque forms of tracking”. 

However, the Network Advertising Initiative (“NAI”) issued a statement endorsing Google’s decision to keep third-party cookies in the absence of tried and tested alternatives as this “would have posed a significant threat to competition in advertising that is essential to the free and open internet”. The NAI underscored the importance “to develop and implement privacy-enhancing approaches to data-driven advertising”. 

 To date, it remains unclear what the “new experience” in Chrome will look like and what implications this will have for the wider ad-tech industry. We expect Google to release a finalised approach soon following consultation with the CMA, ICO and other global regulators. 

Watch this space!  

For more information about Google’s proposal to end the use of third-party cookies and it’s Privacy Sandbox see our previous passle here.