Google will continue using third-party cookies in Chrome

So, Google isn’t killing off third-party cookies in Chrome after all. A few years back, they launched something called Privacy Sandbox, which was supposed to phase cookies out entirely. That plan is now shelved. Instead, cookies stay, for now. Why? The industry isn’t where it needs to be, and regulators are making the environment more complex. Google’s Ghita Harris-Newton, who oversees government affairs and public policy, pointed out that the shifting nature of rules and real-world feedback made it clear they needed to rethink.

This decision keeps the tools that many digital marketers are used to, alive and operable. Marketers need to reach their users effectively, and cookies, while flawed, still help with that scale. Google stepping back gives the ad industry one thing it rarely has: breathing room. But let’s not confuse that with innovation. It’s a delay, not a solution.

If you run a company relying heavily on digital reach, it’s smart to use this moment to audit your dependence on third-party cookies. These things won’t stick around forever, no matter how slow the transition. Upgrading now, on your terms instead of under pressure, is the move. Google’s pivot means they’re course-correcting based on market feedback. That makes sense, but don’t mistake it for leadership on privacy.

Regulatory scrutiny plays a critical role in Google’s decision

Let’s be clear: this shift isn’t coming from vision. It’s coming from pressure. Google is under real legal and regulatory fire. In August, they were judged to have an illegal monopoly in search. A few days before the cookie decision, another ruling confirmed their unfair control over digital ads. There’s real risk Chrome could be forced off their books. That matters more than most headlines suggest.

Why? The entire Privacy Sandbox plan was based on Google owning Chrome and controlling the ad tech stack top to bottom. Amelia Waddington from Captify, Chief Product Officer, called this out directly. If they don’t own Chrome, they lose leverage. Plain and simple. Without that channel control, the alternative tech they were building doesn’t carry the same weight. So instead of risking disruption while under scrutiny, they kept cookies alive to shore things up.

If you’re running data or marketing operations, understand this: Google’s decision may look like a tech pivot, but it’s legally driven. When you see moves like this, ask yourself “how does this affect my spend,” and “what constraints are shaping the platform?” Decisions shaped by legal pressure tend to follow survival. Be cautious building your long-term stack on something being guided by antitrust defense.

Industry reactions remain divided over Google’s reversal

The industry isn’t aligned on whether Google’s decision is forward-thinking or just reactive. On one side, leaders see value in stability. Third-party cookies give them the reach they know, tools that are already integrated, and workflows that don’t need rebuilding. For many brands focused on performance and scale, this is a win. It allows them to stay the course without scrambling to adopt unproven alternatives.

But not everyone agrees. Adam Schenkel, EVP of Global Platform Strategy at GumGum, called this move a regression at a time when consumers are more sensitive than ever to how they’re tracked. His stance is clear: the ad industry doesn’t have a targeting problem, it has a trust problem. Brands continuing to rely on cookie-based strategies risk undermining user confidence, which doesn’t just affect privacy metrics but long-term brand value.

Both views are valid. Travis Clinger, Chief Connectivity and Ecosystem Officer at LiveRamp, captured the middle ground. He’s seeing marketers adapt by blending cookies with newer tools, looking for interoperability and unified measurement across cookieless spaces like connected TV and mobile.

For executives, this is a moment to make deliberate choices. If you’re leaning too hard on third-party cookies, you should be asking whether your brand is really ready to engage users across channels that already ignore them. Use the time Google’s given, but don’t bet your future on extensions of the past. Evolution in audience engagement isn’t slowing down, even if Google is.

Google is improving privacy features even while retaining cookies

Though cookies stay, Google is still signaling it hasn’t dropped privacy as a core track. New capabilities in Chrome’s Incognito mode are getting more attention, and an IP Protection feature is expected by Q3 2025. These steps suggest they’re preparing for multiple scenarios: one that keeps cookies short-term, and one that aligns with tougher regulation or platform shifts in the near future.

The Privacy Sandbox isn’t dead either. Google says it will roll out an updated roadmap soon and will gather more input from across the industry. This is important. What they’re acknowledging is that you can’t fix a fragmented system with a top-down rollout, especially not when the ecosystem includes advertisers, regulators, developers, and publishers, each with different goals.

Executives should pay close attention here. The mixed strategy, holding onto cookies while advancing privacy features, shows that Google doesn’t have a single path forward. That’s smart in many ways, but it also puts the burden on other players to prepare for several outcomes.

Progress in privacy-focused tech hasn’t hit mass utility yet, but it’s moving. Forward-thinking companies won’t wait for Google’s next announcement to implement solutions. When the shift comes, those already investing in flexible, transparent data use models will move faster, and with more consumer trust.

The broader shift toward privacy-compliant advertising is underway

Let’s simplify the situation: while Google is pausing its move away from third-party cookies, the rest of the industry hasn’t. Brands and platforms have already made decisive moves toward privacy-compliant advertising. Technologies like data clean rooms, first-party data platforms, and new identity frameworks are already being put to work. The industry is adapting ahead of the regulatory curve, because waiting isn’t practical.

Mari Docter, SVP of Data Strategy and Innovation at Novus, was clear: the landscape is evolving with or without Google’s timeline. Marketers are applying more compliant ways of working with data, because eventually, fragmented privacy laws across states will force the issue. At that point, outdated systems like third-party cookies will be useless, regardless of whether Chrome supports them.

For C-suite leaders, this is execution time. Transforming data strategy from third-party dependence to first-party strength is not theoretical. Every dollar you spend should be building resilience, whether through direct customer relationships, long-term infrastructure, or alignment with expected privacy regulations.

Legal challenges could spur greater transparency in digital advertising

Two major legal judgments in the U.S. have ruled that Google maintains an illegal monopoly, in search and in its advertising technology stack. That reality shifts the conversation. What we’re seeing now is the potential for legal pressure to unlock industry-wide improvements, especially in transparency. The opportunity is there, it depends on whether the rest of the market seizes it.

Sean Cunningham, CEO of the Video Advertising Bureau, framed it directly: the lack of transparency, especially in Google’s video ad business, might not yet be illegal, but it should be. And he’s not wrong. Marketers are often forced to operate with limited visibility into performance and pricing, especially across YouTube and related properties. With regulators stepping in, the chance to demand clean structures and clearer standards becomes very real.

Executives should view this moment as more than just a Google issue. It’s an inflection point. It’s a time to evaluate whether your company’s partnerships, ad spend, and tech stack serve your transparency and performance goals, or just keep you cycling through platforms with minimal control. The court cases create a window where the push for equity in digital ad practices could gain serious ground.

The takeaway: legal action might push Google to shift, but that alone isn’t enough. This is where the market has to match pressure with precision. If you want better transparency, now is the time to act, because the landscape could change, and those who shaped it will benefit most.

Key executive takeaways

  • Google delays cookie phase-out: Google’s decision to keep third-party cookies in Chrome reflects market resistance and regulatory complexity. Leaders should maintain cookie-based tactics short-term while accelerating investments in privacy-focused alternatives.
  • Antitrust pressure drives platform moves: Mounting legal challenges over monopoly practices are reshaping Google’s strategy. Executives should monitor platform dependencies closely as regulatory disruption could change control over core advertising channels like Chrome.
  • Industry response is divided and strategic: Some marketers will continue to rely on cookies for reach, while others are signaling a pivot toward trust-based data models. Decision-makers should diversify targeting strategies to reduce risk tied to legacy tracking tools.
  • Privacy features remain a parallel focus: Despite retaining cookies, Google will roll out upgraded privacy measures like IP Protection and enhanced Incognito tracking. Leaders should prepare for a dual environment, supporting legacy infrastructure while aligning with stricter privacy expectations.
  • Ecosystem is shifting beyond cookies: Many advertisers are advancing toward cookieless solutions built around first-party data, identity frameworks, and measurement updates. Organizations should prioritize these future-ready tools before regulation forces abrupt change.
  • Legal rulings open push for transparency: Google’s antitrust losses create momentum for broader industry reform, especially in video ad transparency. Leaders should use this opening to demand fairer standards and reassess relationships with opaque platforms.

Alexander Procter

May 9, 2025

8 Min