IAB Europe Reacts to Google’s New Approach to Privacy Sandbox

Brussels, 23 July 2024 - IAB Europe acknowledges yesterday’s announcement by Google that instead of deprecating support for third-party cookies on Chrome, it will “introduce a new experience in Chrome that lets people make an informed choice that applies across their web browsing”.  

The announcement was made alongside the release of results from buy- and sell-side testing of Privacy Sandbox APIs confirming that revenue losses arising from the deprecation of third-party cookies could be attenuated by the use of the APIs, though to varying degrees depending on the scenario.

The UK Competition and Markets Authority (CMA), which has been overseeing the development of the Privacy Sandbox following commitments made by Google in 2021, has announced that it will “work closely with the [UK Information Commissioner’s Office] to carefully consider Google’s new approach to the Privacy Sandbox”, and is open to receiving feedback from interested parties until 12 August.

Given the lack of detailed information on the user choice functionality that Google proposes to introduce instead of deprecating third-party cookies, it is currently challenging to fully assess the implications of this announcement on the broader ecosystem. However, IAB Europe emphasises the following key considerations that should be addressed in any alternative approach implemented in Chrome:

1. User controls in relation to the setting of cookies and processing of personal data for advertising purposes are already the object of industry-wide standards that draw on the detailed requirements laid down in the GDPR and ePrivacy Directive. These standards take account of the fact that browser-level user choices cannot enable the establishment of informed and specific consent under GDPR.  It is unclear what value the addition of a supplementary choice layer, with the attendant risk of introducing a fragmented user experience, would deliver.  
2. It would seem likely that such an approach would entail the same prejudice to publishers as Apple’s ATT, which is currently the object of antitrust scrutiny in several EU jurisdictions.  The manner in which controls connected to the availability of third-party cookies will be presented to end-users and articulated with the existing controls already provided for the Privacy Sandbox APIs will be of particular importance to evaluate the impact on competition.   

Finally, we would call on Google to ensure that the development is done in close collaboration with industry standard-setting organisations and takes good account of industry feedback, even as it continues to refine and improve the Sandbox tools.  In this connection, it is relevant to acknowledge Google’s record of industry engagement on the Privacy Sandbox up to now, while being clear-eyed about the risks evoked above in relation to the alternative approach announced yesterday.