The Real Costs of Cookie-Blocking
Posted in: UncategorizedWhile privacy advocates applaud Mozilla’s proposal to block cookies by default on the Firefox browser, it should be clear that this is yet another initiative that does not show how it protects people from harm. What’s more, along with negatively impacting digital advertising, it could have an adverse impact on small publishers and do much to limit consumer choice online.
Why do companies want to track online activity in the first place? Small publishers rely on a host of third parties, such as analytics vendors, to understand the popularity of the content they publish. Third-party advertising technology companies generate the publisher revenues required to pay staff salaries and keep sites running. These third parties aggregate the content created by millions of small publishers and offer media buyers a reach of advertising opportunities that is comparable to that provided by large, vertically integrated publishers. But to be truly competitive, these advertising vendors must track the anonymous activity across their networks to offer frequency capping and other services offered by the largest publishers.
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