Media agencies: Google ensures ‘dominance’ with cookies backflip

Adam McCleery
By Adam McCleery | 28 April 2025
 

Arkan Perdana via Unsplash

Google, in what’s becoming a tradition, has reneged on its decision to phase out third-party cookies in Chrome, sparking a swift reaction from Australia’s media and advertising sector, which has been preparing for the change for some time.  

The world’s biggest collector of digital advertising dollars has decided to keep offering users the choice to opt-out of these packets of code in its Chrome browser but not prompt them about this.

“This should not lead to complacency given the imminent changes to the Australian Privacy Act later this year,” said Richard Taylor, managing director at Digital Balance. 

He sees Google’s move as a brief reprieve for marketers, but cautioned that coming reforms to the Australian Privacy Act could render the move moot.

“Expected to introduce mandatory cookie consent, these reforms will necessitate a shift towards more privacy-centric marketing practices regardless of Google's long-term plans for cookies,” he said. 

Taylor advised advertisers to continue to use the time to invest in first-party data strategies and consent management platforms.

Marketers have been preparing for the end of cookies since January 2020 when Google first announced plans to depreciate the system.

This kicked off investment in first-party data, as seen by media players in Australia including News Corp and Nine Entertainment.  

The latest from Google could also be connected to mounting regulatory pressure on the giant digital platform globally. 

“This move by Google comes suspiciously soon after the DOJ's ruling (in the US) against their monopoly in AdTech,” said Denise McCormack, head of digital data and tech at Hatched. 

“Whether it's a strategic stall or a negotiation tactic, the message is clear. Google continues to protect the systems that preserve its dominance, Chrome, Android, and the third-party cookie ecosystem that underpins its AdTech empire.”

CEO of Bench Media, Ori Gold, said the move by Google was not a surprising one given its reliance on cookie-based advertising revenue and Consent Management Platform (CMP) leadership. 

“Advertisers can continue to use practices they are used to, though brands already using advanced, privacy-focused tracking will enjoy greater accuracy and audience reach,” Gold said. 

Ultimately, Google's approach favours short-term convenience, but forward-thinking brands and privacy-conscious consumers will increasingly embrace and demand sophisticated, privacy-centric solutions beyond the traditional cookie-based web ecosystem.

Ash Dharan, head of paid media at performance marketing agency NP Digital Australia, also suggested the move may be aimed at mitigating monopoly concerns as the company faces the remedies phase of its search antitrust trial. 

“Google announced it won't deprecate third-party cookies right as it enters the remedies phase of the Search antitrust trial, where Chrome divestment is a possibility,” Dharan said. 

“This decision aims to demonstrate to the court that it’s levelling the playing field for competitors who can continue using third-party tracking in Chrome instead of Google's Privacy Sandbox alternatives. 

“It’s a strategic move to counter claims of monopolistic advantage and potentially prevent the forced divestiture of Chrome. Whether it will succeed remains to be seen.”

Matt Coote, country manager for contextual-first global digital advertising platform GumGum, highlighted growing public discomfort with traditional tracking.

“According to GumGum’s Australian Digital Advertising Pulse Check, 69% of Aussies find traditional tracking‑based ads ‘invasive’ or ‘unsettling’,” he said. 

“The smarter approach now for brands is to pivot to new models that respect privacy and meet people at the right moment, using technologies like contextual advertising and attention measurement, which honour Aussies’ appetite for control while still delivering relevant messages.”

Head of APAC at Eyeota, Trent Lloyd, said Google’s move reflects ongoing hesitation across the industry to move on from third-party cookies fully. 

“While not at all surprising, it does put the onus back on marketers and tech platforms to decide how much to invest in alternatives now versus later. This doesn’t change the fact that Chrome is the last major browser to support cookies; the broader trend is still toward limited signal availability,” he said. 

“Anyone relying heavily on cookies must take this as a cue to diversify, not delay. Whether through first-party data enrichment, contextual targeting, or interoperable ID frameworks, progress on privacy-forward advertising strategies needs to continue independently of Google’s timelines." 

Chief digital, data and technology officer at UM Australia, Adam Krass, said Google’s backflip offers a temporary boost to ad targeting and free digital access, but evolving tech, AI, and legal pressures mean brands must keep adapting their data and measurement strategies.

“Yet the landscape is anything but settled. Google is fighting major antitrust battles that could reshape its power in ad tech, while generative-AI engines like ChatGPT and Perplexity are rewriting the search playbook and its commercial model,” he said.

“Add the explosive rise of visual search on TikTok, Instagram and YouTube, and we’re reminded that agencies and brands must keep iterating data strategies and measurement frameworks, because today’s reprieve could become tomorrow’s reinvention.”

Head of Acxiom & Data Partnerships at Kinesso, Natalie Hatch, agreed the industry should continue to look at alternatives. 

“Considering the significant hurdles Google has faced in their journey to deprecate cookies and the vague outline they provided last year around the introduction of a standalone opt-out prompt for users, it shouldn’t come as a shock that this has been pushed into the ‘too-hard basket’,” Hatch said.

“At this point, the industry shouldn’t be relying on Google’s moves, we should be moving ahead in our own direction.”

And due to the ongoing cookies saga, the industry has already been moving in its own direction. 

“The impact for Mediabrands is minimal. We have been experiencing the phase out of 3rd party cookies across browsers for years which has already impacted the effectiveness of traditional third-party cookie-based tracking for a significant portion of internet users, pushing agencies to begin pivoting their approach,” Hatch said. 

“Between those changes and the expected evolution of privacy legislation our focus will continue to be on exploring and implementing privacy-first and privacy centric approaches for clients. 

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