Ad Tech Briefing: The CMA tosses Google’s Privacy Sandbox a lifeline, as many declare it DOA

privacy sandbox

This Ad Tech Briefing covers the latest in ad tech and platforms for Digiday+ members and is distributed over email every Tuesday at 10 a.m. ET. More from the series →

The U.K. Competition and Markets Authority has opened a consultation on potentially releasing Google from Privacy Sandbox commitments imposed in 2022. Some are concerned this represents ‘a W’ for corporate conjury.  

The move, announced June 13, follows Google’s April decision to drop plans to prompt Chrome users to block third-party cookies, a shift seen as reducing potential competitive harm. Indeed some are asking whether or not the April policy-reversal on nudging Chrome-users to dump cookies has been successful? 

Related Insights

The CMA believes the commitments are no longer necessary and is now consulting before it takes a decision on whether to release them later this year,” reads a release announcing the update. Public input has been invited, with stakeholders able to submit views on lifting the commitments until 4 July 2025 via the CMA’s official investigation page.

The CMA’s commitments – Google first committed to them in the early 2020s – aimed to prevent the online giant from designing Privacy Sandbox tools that could entrench its dominance in the U.K.’s multi-billion-pound ad market.

Officially, Google said the reversal is aimed towards reducing user confusion and friction by avoiding a binary prompt that might mislead users into thinking Chrome was sharing their data, a situation it is eager to avoid.

However, the widely perceived explanation among critics is that Google backtracked to avoid regulatory scrutiny and maintain control over digital advertising infrastructure while preserving its own competitive advantage.

Many believe Privacy Sandbox is now (unofficially) dead, despite Google’s attempts to counter such a narrative, with sources there maintaining that reports of layoffs at in the team being conflated with wider cutbacks across the web giant. 

Additionally, last week Google’s Privacy Sandbox team last week issued a proposal for a Chrome feature that will attempt to block attempts to re identify Chrome-users when they use Incognito mode. Ergo, Google’s efforts to convince the wider sector, in particular government actors, of its magnanimous intentions.   

Related Insights

All of this comes as Amit Mehta – the presiding judge in Google’s search antitrust case, where the Justice Department is pushing for a divestiture of Chrome – is expected to rule on remedies in early August. Meanwhile, the remedies phase in the ad tech trial are due to commence in late-September, with Google expected to lodge appeals extending proceedings into 2027. 

However, some have questioned whether the DOJ’s efforts were fit for the contemporary landscape, with some even questioning if the only effective means of censure is levying Google with an astronomical fine. 

“With all of the new AI products/tools coming, I think the anti-trust trial is misguided,” said one anonymous participant in a September 2024 survey of Digiday readers. “There’s a lot of competition and change coming in both search and ad tech.” 

What we’ve heard 

“The owners of Simpli.fi are not happy with how things are going (particularly growth), they’re looking to make some big move over there.”

— An industry source, who declined to be named. This came ahead of the ad tech company, which is partly-owned by private equity giants Blackstone and GTCR, announcing the appointment of Cali Tran as its new CEO, with former chief executive, and founder, transitioning to executive chairman. 

Numbers to know 

What we’ve covered:

What we’re reading

WPP launches rare public attack on Publicis over ad quality, escalating feud

Ad Age reports that in a rare instance of direct, public attacks on foes, WPP has criticized Publicis Groupe’s Epsilon, alleging low-quality ad inventory and supply path issues in a report shared with clients, escalating longstanding tensions between the two advertising giants.

A new future for digital advertising; policy solutions to restore ddtech integrity

Check My Ads has unveiled a “a bold, actionable roadmap to fix the financial plumbing of the internet” which is dedicated by a handful of internet juggernauts who remain interested in keeping its primary business model (advertising) opaque. 

Google offers buyouts to more workers amid AI-driven tech upheaval and antitrust uncertainty

Several press outlets have reported that Google’s (seemingly never-ending) round of cuts continues. This time it’s with buyouts to another swath of its workforce across several key divisions in a fresh round of cost cutting coming ahead of a court decision that could order a breakup of its internet empire

Why these five possible candidates could take over for outgoing WPP CEO Mark Read 

Brian Lesser, CEO of WPP Media, is considered a leading candidate to succeed Mark Read at the summit of WPP. While he is recognized for operational restructuring, with an “uncanny ability to see around corners,” some note the need for broader strategic vision.

https://digiday.com/?p=581008

More in Marketing

Cannes Briefing: The Croisette class of the outpaced

While people are here to celebrate the work, they’re also here to figure out what’s actually working. 

Digiday Podcast at Cannes: Ad networks take center stage at Cannes — are buyers buying in?

Retail media and ad networks are pulling out all the stops at Cannes, but is it enough to woo media buyers?

‘It’s a big meeting week’: Kimberly-Clark’s Patricia Corsi on the AI hype, Cannes jargon

While Cannes is known for its seaside schmoozing and glitzy award shows, here’s how Kimberly-Clark’s Patricia Corsi separates real talk from hype.