The CMA will examine Google’s proposal to remove third-party cookies and other functionalities from its browser.
A move justified by privacy enhancements: In January 2020, Google announced its intention to end support for third-party tracking cookies in its Chrome browser within two years. The company justified the move as an increase in privacy for end users, since ad targeting will happen through Google’s Privacy Sandbox, whereby advertisers do not have direct access to users’ personal details. However, advertisers raised concerns that Google could strengthen its dominant position in digital advertising.
Why is the CMA taking action? On 8 January 2021, the UK Competition and Markets Authority (CMA) opened an investigation to assess whether Google’s proposals could cause advertising spend to become even more concentrated on its ecosystem. The decision follows concerns raised by the CMA itself in its July 2020 report on online platforms and digital advertising.
The CMA will reach a view in six months’ time: The initial investigation will continue until July 2021. The CMA will gather information up until then, and has not yet reached a view as to whether competition law has been infringed.