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From Cookies to Consent: How Ad Tech Is (Finally) Being Regulated

Jun 28, 2025

For years, digital advertising ran on a simple, invisible bargain: websites would quietly install cookies on your device, track your behavior, and sell that data to advertisers. Most users had no idea it was happening.

That era is coming to an end.

The Fall of Third-Party Cookies

Third-party cookies, long the backbone of targeted advertising, are being phased out. Google Chrome, the world’s most popular browser is set to fully eliminate third-party cookie support by 2025. Safari and Firefox already block them by default.

This shift isn’t just a technical change. It marks a fundamental rethinking of how user data is collected, shared, and monetized across the web.

Enter Data Privacy Laws: GDPR, CCPA, and More

The regulatory push started with the General Data Protection Regulation (GDPR) in the EU. Enacted in 2018, GDPR requires websites to get clear, informed consent before collecting personal data. It gave users rights to access, delete, and control their data and it introduced steep penalties for non-compliance.

In the U.S., California's Consumer Privacy Act (CCPA) followed in 2020, giving users the right to opt out of data sales and understand what companies collect about them. The newer CPRA (California Privacy Rights Act), effective in 2023, expands on CCPA’s protections and introduces stricter rules around data sharing.

Other states like Virginia, Colorado, and Connecticut have launched similar laws, signaling a broader shift toward user-first data practices.

Consent Replaces Passive Tracking

What used to happen behind the scenes now requires user participation. Today, websites must:

  • Request permission to track users

  • Explain what data is being collected and why

  • Offer opt-out options (especially for data sales)

  • Honor “Do Not Track” and Global Privacy Control signals in some regions

This puts power back in the hands of users. But it also challenges advertisers and platforms to rethink how they target, measure, and optimize ads.

The Rise of First-Party Data

In response to regulatory pressure and cookie deprecation, companies are turning to first-party data information collected directly from users, with consent, on their own platforms.

Examples include:

  • Email sign-ups

  • Purchase history

  • App usage

  • Direct survey responses

First-party data is more privacy-compliant and often more accurate. But it requires building trust, offering value in exchange, and investing in direct user relationships.

What This Means for the Future of Ad Tech

We’re entering a new phase of advertising that values transparency, consent, and user control. The ad industry is being forced to innovate around:

  • Contextual advertising

  • Cohort-based targeting (like Google’s Privacy Sandbox)

  • Consent management platforms

  • Blockchain and decentralized identity solutions

Brands that embrace these shifts will earn trust and stay ahead. Those that cling to outdated models risk fines, user backlash, and falling behind.

This isn’t just regulation. It’s a reset.

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