The UK Competition and Markets Authority (CMA) has released an interim report on Google’s compliance with Privacy Sandbox oversight.
Key takeaway from the report:
“Based on the available evidence, we consider that in the period since our last update report (1 April 2024 to 30 September 2024), Google has complied with the existing Commitments. This means that in our view Google has followed the required process set out in the Commitments and is engaging with us (and the ICO) to resolve our concerns relating to the development and implementation of the Privacy Sandbox tools.”
So… progress! Google is working to address privacy and competition concerns, according to the CMA, though the report also reveals some ongoing issues.
For example, transparency gaps persist in the Topics API and the Protected Audience API (PAAPI). The potential impact on publishers is another point of concern. Concerns also remain about user consent clarity following Google’s July decision to let users choose to retain or block third-party cookies.
Speaking of, I believe this is the first time the CMA is formally addressing Google’s shift, in-depth, from fully deprecating third-party cookies to offering users a choice. On this point, Ari Paparo summarized the report pretty succinctly in a tweet: “No new news about consumer cookie choice mechanism.”
Why This Matters:
As part of its regulatory oversight, the CMA has been monitoring the development of Google Privacy Sandbox since 2021. The goal: to ensure fair competition in digital advertising.
Obviously, Privacy Sandbox is a project that will reshape advertising online. Hence, the CMA’s report is a big checkpoint in its ongoing development.
The CMA’s oversight is also trying to ensure that Google’s tools don’t unfairly advantage its own ad business while protecting user data.
Experts React:
On that point, Thomas Petit, a growth advisor for B2C mobile apps, highlighted an interesting part of the report:
In response, Mike Ryan, Head of Ecommerce at Smarter Ecommerce, commented: “In general I thought CMA’s report could’ve been way worse for Google though.”
Our Take:
Forget our take – what’s yours? This report is long. We’re tired. (See the full report here.)
