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Google Introduces Privacy Sandbox as Alternative to Third-Party Cookies

Daniel Kim Views  

Following the discontinuation of third-party cookie provision, Google has proposed Privacy Sandbox as an alternative. The goal is to enhance the security and accuracy of information, protect personal information, and increase the efficiency of advertisements.

Starting this third quarter, Google announced that it is freely distributing the Privacy Sandbox API as a solution for Target advertising, following the discontinuation of third-party cookie provision.

Cookies are small data stored on a browser when a user visits a website. Third-party cookies track and record data from websites that users frequently visit. Their purpose is to enhance user convenience. They support website logins, display ads based on searches, and are utilized for various other purposes.

However, with Google planning to discontinue the provision of third-party cookies, it has been pointed out that data collection by companies other than Google will become difficult. The Korea Digital Advertising Association analyzed that revenues from simple exposure-type advertisements during AB testing without third-party cookies decreased by 52% compared to those from third-party cookies. Additionally, after the implementation of Apple’s ATT (App Tracking Transparency) policy, the performance of advertisements targeting iPhone Facebook users decreased by 15%.

Google proposed the Privacy Sandbox as an alternative. It is a set of APIs that allows for the provision of customized web content while protecting personal information. It consists of APIs for preventing spam and covert tracking, strengthening inter-site personal information protection boundaries, displaying relevant content and advertisements, and measuring digital advertising performance.

Advertisers may choose to apply multiple APIs individually as needed. Using the information that the user has agreed to be tracked demonstrates enhanced safety and accuracy.

According to Google’s test results, advertisements using the Privacy Sandbox feature only decreased the reach by about 2-7% compared to third-party cookies. Also, cost efficiency decreased by about 1-3%.

Google plans to test the Privacy Sandbox and refine the technology based on feedback from related parties by the second half of this year and to expand its application to the web and Android.

A Google representative stated that they aim to provide an environment where personal information protection and verification are possible through the Privacy Sandbox. Google added that it hopes the industry will participate in protecting personal information and creating a safe internet environment.

Daniel Kim
content@viewusglobal.com

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