AdTech & MarTech News Highlights: Q1 2022 Roundup
Q1 2022 was a dense quarter for the AdTech and MarTech industry — between Google's continued Privacy Sandbox manoeuvring, the IAB Tech Lab releasing its first Project Rearc specification, a wave of antitrust scrutiny, and a flurry of M&A activity, there was no shortage of consequential developments. Here's a breakdown of the most significant stories.
Top AdTech and MarTech News Stories
Google Chrome Shuts Down FLoC and Introduces Topics API
Back in July 2021, Google Chrome floated the idea that its interest-based advertising proposal — Federated Learning of Cohorts (FLoC) — might be superseded by a topics-based approach.
That possibility became reality on January 25, 2022, when Chrome officially announced it was shutting down FLoC and replacing it with Topics API.
Topics API is the latest addition to Google Chrome's Privacy Sandbox initiative. Like FLoC before it, it's designed to enable interest-based advertising in a more privacy-friendly way than traditional third-party cookie targeting — but with a different underlying mechanism. Chrome signalled it would stop work on FLoC entirely and focus development effort on Topics going forward.
Further reading:
- Get to know the new Topics API for Privacy Sandbox — Google Blog
Google Chrome's Privacy Sandbox Opens Testing for Topics, FLEDGE, and Attribution Reporting API
In late January 2022, Google Chrome announced the start of the first origin trials for the FLEDGE proposal and a new origin trial for the Attribution Reporting API within the Privacy Sandbox.
Then, on March 31, 2022, Chrome confirmed that developer origin trials for Topics, FLEDGE, and the Attribution Reporting API had officially begun.
Further reading:
- What to Expect from Privacy Sandbox Testing — Chromium Blog
- Attribution Reporting proposal: updates in January 2022 — Chrome Blog
- Proposed First FLEDGE Origin Trial Details — GitHub
- With FLoC In The Rearview, Google Will Test FLEDGE And Phase 2 Attribution Reporting — AdExchanger
Google Announces That Privacy Sandbox Will Be Extended to Android
On February 16, 2022, Google announced plans to bring its Privacy Sandbox initiative to Android.
The announcement aligns with Google's earlier decision to stop passing its mobile advertising ID — the Google Advertising ID (GAID) — to AdTech and mobile measurement platforms when Android users opt out of ad personalization.
Further reading:
- Introducing the Privacy Sandbox on Android — Google
- Privacy Sandbox on Android — Google
The IAB Tech Lab Launches Seller Defined Audiences
On February 24, 2022, the IAB Tech Lab released Seller Defined Audiences (SDA) — the first addressability specification to emerge from its Project Rearc initiative.
SDA is designed to help publishers monetize their first-party data by creating audience cohorts that can be passed to demand partners (i.e., DSPs) via OpenRTB bid requests using Prebid.
The IAB Tech Lab describes the mechanism as follows:
Publishers or their data partners determine audience attributes based on user interactions on their properties, map similar groups of users to broad, standardized taxonomy attribute descriptions ([Audience Taxonomy]), document audience characteristics/metadata via a standardized transparency schema (the [Data Transparency Standard] aka DTS), then relay taxonomy IDs within OpenRTB to inform downstream signaling by buyers.
Further reading:
- Tech Lab Releases "Seller Defined Audiences", Aims to Democratize Cohort Development for the Open Ecosystem — IAB Tech Lab
- Meet Seller-Defined Audiences, The First Spec To Come Out Of Project Rearc — AdExchanger
Google's Encrypted Signals Program Enters Open Beta
In March 2021, Google announced development of a new feature within Google Ad Manager — the Encrypted Signals Program (ESP) — designed to help publishers share encrypted identifiers, including ID solutions like UID 2.0, with demand partners such as Authorized Buyers and Open Bidders.
A year later, in March 2022, Google announced that the Encrypted Signals Program had entered open beta, enabling publishers to begin sharing these encrypted signals with their demand partners in earnest.
Further reading:
- New ways for publishers to activate first-party data — Google Ad Manager
- Google's Encrypted Signals Program Just Entered Open Beta — AdExchanger
Antitrust Investigations
Regulatory pressure on the major platforms remained a consistent theme throughout Q1 2022:
- Google Gets Hit With Another Antitrust Complaint On The Same Day It Strikes A Privacy Sandbox Deal With The UK's CMA — AdExchanger
- European Commission opens investigation into possible anticompetitive conduct by Google and Meta, in online display advertising — European Commission
- 'Inaccurate and inflammatory': Google moves to have Texas AG-led antitrust case dismissed — Digiday
- Ad Tech Vets Help Sharpen Ad Tech Regs; New Antitrust Bills Are Up In Congress — AdExchanger
Mergers, Acquisitions, IPOs, and Funding Rounds
M&A activity in Q1 2022 was notably active across AdTech, MarTech, and CTV:
- 2022 Kicks Off With An M&A Explosion — AdExchanger
- TripleLift Acquires 1plusX to Build On Its CTV and Identity Strategies — TripleLift
- Tatari Acquires TheViewPoint to Build a Private Ad Exchange for CTV — TheViewPoint
- Magnite Acquires Carbon and Adds Nth Party to Grow Its Audience and Identity Capabilities — Magnite
- Innovid Acquires TVSquared to Power Cross-Platform TV Measurement — Innovid
- Sabio Acquires Vidillion to Strengthen Its Position in the CTV Industry — PR Newswire
- Kargo Acquires Parsec to Measure Attention on Mobile — AdExchanger
- Unbounce Acquires LeadsRX to Offer Marketing Attribution to Its Clients — LeadsRx
- iSpot Acquires Tunity to Modernize Out-of-Home TV Measurement — iSpot
- Singtel has appointed investment bank Moelis to explore a potential sale of Amobee — Digiday
- HUMAN (formerly White Ops) Raises $100 Million In Growth Funding Round Led By WestCap and NightDragon — HUMAN