Google’s latest Chrome update leaves third-party cookie phase-out as unclear as ever

By Seb Joseph and Tim Peterson • January 29, 2025 •

Ivy Liu

Anyone waiting for Google to drop a game-changing cookie update can go ahead and breathe — its not coming with this one.

If anything, the latest details on how the Chrome browser will ask users if they want to be tracked by third-party cookies has only stirred up more questions than answers — par for the course at this point.

Speaking yesterday (Jan. 27) at the IAB’s Annual Leadership Meeting in Palm Springs, California, Anthony Chavez, Google’s vp of Privacy Sandbox, explained that the choice will come via a “one-time global prompt,” with the industry getting several months to prepare before it goes live.

It’s hardly groundbreaking information, but it does signal the direction things are heading: Web advertising is inching closer to the mobile app model, where consent-based prompts from Google and Apple already dictate privacy settings.

And this shift isn’t stopping at third-party cookies — it’s reaching into IP addresses too.

At the same event, Chavez revealed plans for a new Chrome feature that lets users hide their IP addresses. When it launches, the protection will be limited to those using “incognito mode” — the browser’s private browsing option designed for discretion.

A collective shrug, but growing unease

So far, the industry’s response to these latest updates has been a collective shrug.

For some, the global prompt news was deja vu, echoing earlier cookie-related updates. And as for the IP address crackdown? It barely made a ripple among those who see it as a niche move, particularly since privacy-conscious users already rely on VPNs or third-party vendors like NextDNS.

“I figured something like this would happen — where it [the consent choice] is sent back to users to decide,” said Ravi Patel, CEO and co-founder of media platform SWYM.ai. “I am not even sure why they didn’t do this from the beginning.”

But beneath the frustration lies a deeper worry: Google’s slow trickle of updates on cookie consent could be setting up a choice so opaque that users won’t have the information they need to make informed choices. As cynical as it may sound, it’s a valid worry. Remember, Google hasn’t clarified how — or even if — it plans to educate users on what these cookies actually do. After all, if people are asked to opt in or out of something they don’t understand, the default response is likely to be no. And for Google, that might just be the point.

“A fake consent mechanism which leads to opt out only or mostly is potentially unfair to vendors and other players who rely on it and expect this to be a pot life saver for their business,” said an ad tech vendor who exchanged anonymity for candor.

It’s a concern that has simmered since Google announced it would give Chrome users this choice. Perhaps it wouldn’t feel so fraught if Google had made a stronger effort to involve the industry in shaping this feature — or so it seems. As of the publishing of this article, Digiday hasn’t spoken to any vendors, or any other partners for that matter, who were consulted during the development of this so-called choice.

“If Google sticks to this attitude then there are always going to be concerns over whether this whole push against third-party cookies in Chrome is actually fair,” said Davide Rosamilia, vp of product at alternative identity provider ID5. “On this current trajectory, Google’s own crackdown on those cookies will have a similar impact to the one Apple did on mobile IDs.”

When that happened in 2021, around 2 in 10 Apple users agreed to being tracked by that identifier before stabilizing at roughly 50%. Given Google’s latest updates, ad execs are bracing for a similar slump whenever Chrome makes its global choice available to users.

“There are still so many questions and an unknown timeline here,” said Rosamilia. “The industry has been ready for a full timeline (deprecation) of third-party cookies for a while and depriving them of firm dates is unfair to all of the industry hard work.”

The bottom line? After five years of investment into Google’s promised cookie overhaul, ad execs are fed up with delays and half measures. Beneath it all, skepticism lingers: If consent collection drives the majority of Chrome users to opt out of third-party tracking, Google will still have access to user data at the transactional level — thanks to its own walled garden.

For many in the industry, that feels less like privacy reform and more like a power grab.

“It is a step forward in giving users more control over their data, but it also highlights the ongoing complexity of the advertising ecosystem,” said Patel. “I believe transparency and choice are essential, but these changes underline the need for advertisers and agencies to rethink their strategies.”

Google’s latest Chrome update leaves third-party cookie phase-out as unclear as ever

There are still no clear answers in Google’s protracted third-party cookie phase-out.