Google Will Not Conduct Ads Based on User Activity Tracking

Facebook Also Introduces Advertiser Identity Verification Procedure for Political Ads

[Image source=Reuters Yonhap News]

[Asia Economy reporters Yujin Cho and Jaehee Kwon] Google, the world's largest search engine, has decided to stop selling ads based on users' web search histories. On the same day, Facebook, the world's largest social networking service (SNS), announced that it will introduce an advertiser identity verification process for political ads, which have been controversial, signaling a major shift in the digital advertising industry.

According to the Wall Street Journal (WSJ) and the New York Times (NYT) on the 3rd (local time), Google will no longer use technologies that track users' browsing history or identify users when they move between websites starting next year.

David Temkin, Google’s product manager, stated, "If digital advertising does not address people's privacy and personal information concerns, it threatens the future of a free and open web."

While targeted advertising has been supported by companies, it has sparked privacy invasion controversies among users, which led Google to face investigations by regulatory authorities.

The WSJ predicted, "Google’s decision, as the world's largest search engine, will drive changes in the digital advertising industry" and "it is expected to provoke backlash from competitors in the digital advertising sector." In fact, Google dominates more than half of the digital advertising market. According to digital advertising consultancy Zaun Media, Google accounted for 52% of last year's digital advertising market, amounting to $292 billion (approximately 329 trillion KRW).

On the same day, Facebook also announced the resumption of previously halted political ads and said it will implement a series of identity verification processes as a condition for running political ads. However, it did not clarify whether this policy would be expanded to countries outside the United States. Facebook suffered a severe blow to its credibility after it was revealed that during the 2016 U.S. presidential election, Russia used Facebook subscriber information to conduct influence operations that helped former President Donald Trump’s election.

Facebook said, "Following the decision last November not to accept political ads ahead of the U.S. presidential election and the extensive feedback received, we have learned more about political and election advertising," adding, "Over the next few months, we plan to observe how these new advertising services operate and identify any additional changes needed."

This content was produced with the assistance of AI translation services.