On March 16, 2022, Google announced the launch of its new analytics solution, “Google Analytics 4.” Google Analytics 4 aims, among other things, to address recent developments in the EU regarding the use of analytics cookies and data transfers resulting from such use.

Background

On August 17, 2020, the non-governmental organization None of Your Business (“NOYB”) filed 101 identical complaints with 30 European Economic Area data protection authorities (“DPAs”) regarding the use of Google Analytics by various companies. The complaints focused on whether the transfer of EU personal data to Google in the U.S. through the use of cookies is permitted under the EU General Data Protection Regulation (“GDPR”), following the Schrems II judgment of the Court of Justice of the European Union. Following these complaints, the French and Austrian DPAs ruled that the transfer of EU personal data from the EU to the U.S. through the use of the Google Analytics cookie is unlawful.

Google’s New Solution

According to Google’s press release, Google Analytics 4 “is designed with privacy at its core to provide a better experience for both our customers and their users. It helps businesses meet evolving needs and user expectations, with more comprehensive and granular controls for data collection and usage.”

The most impactful change from an EU privacy standpoint is that Google Analytics 4 will no longer store IP address, thereby limiting the data transfers resulting from the use of Google Analytics that were under scrutiny in the EU following the Schrems II ruling. It remains to be seen whether this change will ease EU DPAs’ concerns about Google Analytics’ compliance with the GDPR.

Google’s previous analytics solution, Universal Analytics, will no longer be available beginning July 2023. In the meantime, companies are encouraged to transition to Google Analytics 4.

Read Google’s press release.

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