Google ‘won’t build alternatives for ad tracking’ after cookie cull
"We can measure and verify across both the walled gardens and open internet without cookies or third-party tracking technologies." Pic: iStock
Google has said it won’t build alternative identifiers once it phases out third party cookies and warns advertisers away from third party ID alternatives. Other adtech providers are less convinced of its intent.
What you need to know:
- Google says it won't build ad tracking alternatives to cookies, citing privacy concerns.
- Search giant warns brands away from third party ID alternatives.
- Adtech providers dismayed as plans and share prices take hit.
- “Google uses privacy as a shield to weaponise its ‘moat’” – Lotame CEO Andy Monfried.
Other providers may offer a level of user identity for ad tracking across the web ... these solutions... aren’t a sustainable long term investment.
Google has said it won’t build alternative identifiers once it phases out third party cookies.
That move is scheduled for 2022, unless regulators intervene.
The search giant, which owns much of the world’s advertising infrastructure, said its decision is privacy-driven.
Third party cookies and the industrial scale data gathering and trading they enable have created a breakdown in consumer trust, stated the company.
Google is belatedly following Apple and Firefox in phasing out those cookies from its browser. It wants advertisers instead to use first party data with things like its Ads Data Hub (ADH), and also pointed to its development of interest-based advertising technology based on groups of people with similar interests.
Make no mistake, Google is now going to brand itself as a "privacy concerned'' company for consumers. Don’t fall for it.
In a blog post, Google warned advertisers off workarounds being developed by other adtech companies.
“We realise [this decision] means other providers may offer a level of user identity for ad tracking across the web that we will not — like PII graphs based on people’s email addresses. We don’t believe these solutions will meet rising consumer expectations for privacy, nor will they stand up to rapidly evolving regulatory restrictions, and therefore aren’t a sustainable long term investment,” stated the firm.
“People shouldn’t have to accept being tracked across the web in order to get the benefits of relevant advertising. And advertisers don't need to track individual consumers across the web to get the performance benefits of digital advertising.”
Adtech providers building those alternative ID and tracking technologies were unconvinced.
“Google uses privacy as a shield to weaponise its ‘moat’,” said Lotame CEO Andy Monfried.
“The moat is YouTube and its search business. Almost everything else is a rounding error.
“Make no mistake, Google is now going to brand itself as a "privacy concerned'' company for consumers. Don’t fall for it.”
Meanwhile The Trade Desk saw its share price fall 13%. The company has been spearheading efforts to develop a unified ID that is backed by numerous other ad tech providers.
Other parts of the global ad industry are hoping that regulators step in with interim measures as they attempt to curb big tech, and especially Google’s, dominance of digital advertising supply chain.
To stop Google pulling even further ahead of the pack, those measures could potentially include forcing a temporary delay to the sunsetting of third party cookies in the world’s most used web browser. Such a move, however, would run counter to attempts by regulators to create fit for purpose consumer privacy frameworks.
Developing a privacy compliant common user ID is one of six proposals outlined in the ACCC's digital advertising inquiry, along with data portability and separation mechanisms. The regulator hopes to open up advertising's biggest walled garden.
Google's move casts a long shadow over that plan.
