What counts as cross context behavioral advertising under the CCPA?
Part of US and Canada targeting
The short answer
Under the CCPA, cross context behavioral advertising is targeting ads to a consumer based on personal information from their activity across other businesses, websites, apps or services. Disclosing personal information to a third party for that purpose is sharing, paid or not, and Californians can opt out. The regulations' own example treats ads on recipe sites as contextual advertising.
Key takeaways
- Section 1798.140(k) defines the term by where the personal information came from: activity outside the business the consumer is dealing with.
- Sharing covers making personal information available to a third party for this advertising, whether or not money changes hands.
- A business must stop selling or sharing within 15 business days of an opt out, and immediately where real time bidding lets it stop at once.
- The CPPA's regulations describe placing ads on recipe and cooking sites as contextual advertising a service provider may perform.
- Regulations effective January 1, 2026 made selling or sharing a risk assessment trigger, with a December 31, 2027 deadline for existing activity.
What is cross context behavioral advertising under California law?
The term comes from section 1798.140(k) of the California Consumer Privacy Act (opens in a new tab), as published by the California Privacy Protection Agency (CPPA) in the version effective January 1, 2026. The definition turns on the source of the data, not on the ad format or the buying method. The ad is selected from what the person did somewhere else.
Cross-context behavioral advertising means the targeting of advertising to a consumer based on the consumer's personal information obtained from the consumer's activity across businesses, distinctly branded internet websites, applications, or services, other than the business, distinctly branded internet website, application, or service with which the consumer intentionally interacts.
| Term | Section | Statute wording, shortened | What it turns on |
|---|---|---|---|
| Cross context behavioral advertising | 1798.140(k) | Targeting based on personal information from activity across other businesses, sites, apps or services | Where the data came from |
| Share | 1798.140(ah) | Making a consumer's personal information available to a third party for cross context behavioral advertising, "whether or not for monetary or other valuable consideration" | Who receives it and why |
| Nonpersonalized advertising | 1798.140(t) | Advertising based solely on personal information from the consumer's current interaction with the business, except precise geolocation | Current interaction only |
| Business purpose (6) | 1798.140(e)(6) | Providing advertising and marketing services, "except for cross-context behavioral advertising" | What a service provider may do |
The sharing definition also lists cases that are not sharing, such as when a consumer intentionally directs the business to disclose information to a third party. Those exceptions are narrow and written out in section 1798.140(ah)(2). The hub's privacy overview places California beside the Canadian and Quebec rules.
What does the right to opt out of sharing cover?
Section 1798.120(a) gives a consumer the right "to direct a business that sells or shares personal information about the consumer to third parties not to sell or share the consumer's personal information." For consumers the business knows are under 16, the default flips: section 1798.120(c) bars selling or sharing unless the consumer, or a parent for children under 13, has affirmatively authorized it.
The regulations set the clock. Section 7026(f) of the CCPA regulations (opens in a new tab) requires a business to stop selling or sharing "as soon as feasibly possible, but no later than 15 business days," and to notify third parties that received the data after the request and before compliance, directing them to forward it onward. The statute adds, in section 1798.135(f), that a person told of an opt out may then use the data only for a business purpose the business specifies.
The same subsection says that service providers or contractors collecting personal information under the written contract the CCPA requires do not make a sale or sharing. Section 7050(b) closes the loop for advertising: "A service provider or contractor cannot contract with a business to provide cross-context behavioral advertising," and a company that does so "is a third party."
Does contextual advertising count as sharing under the CCPA?
The statute never uses the word contextual. The regulations do, in two places. Section 7050(b)(2) gives this example of permitted service provider work: an advertising company hired by a cookware seller "can serve Business T by providing contextual advertising services, such as placing advertisements for Business T's products on websites that post recipes and other cooking tips." Section 7027(m) uses a religious bookseller serving "contextual advertising" within its own store or website as an example of short term, transient use.
Definition
- Contextual advertising, in the CPPA's example
- Placing an advertiser's ads on websites whose content matches the product, such as cookware ads on recipe sites, described in section 7050(b)(2) as work a service provider may perform rather than as cross context behavioral advertising.
The example describes the placement, not every data flow around it. Section 7050(b)(1) adds a contrast: a service provider may run ads based on aggregated or demographic information, but "cannot use a list of customer email addresses" to identify users on its platform. A retargeting segment or a third party audience added to a contextual campaign is a separate data flow, and section 1798.140(k) defines cross context behavioral advertising by where the data for targeting came from.
| Campaign element | Closest CCPA wording | Where it appears |
|---|---|---|
| Ads placed on recipe sites for a cookware brand | Contextual advertising services a service provider may provide | Regulations 7050(b)(2) |
| Ads based on the current visit to the business's own site | Nonpersonalized advertising, short term transient use | 1798.140(t) and (e)(4); regulations 7027 |
| Audience built from browsing on other companies' sites | Cross context behavioral advertising | 1798.140(k) |
| Customer email list matched on another platform | Not permitted for a service provider | Regulations 7050(b)(1) |
| Data passed to bidders in real time bidding | Described as selling and sharing in one regulation example | Regulations 7026(f)(3)(A) |
Other states draw the line explicitly. Virginia's targeted advertising definition (opens in a new tab) excludes "Advertisements based on the context of a consumer's current search query, visit to a website, or online application." The IP address page covers how both states define the identifiers that travel with any ad request.
What did California's 2026 regulations add?
On September 23, 2025 the CPPA announced (opens in a new tab) that the Office of Administrative Law had approved regulations on cybersecurity audits, risk assessments, automated decisionmaking technology (ADMT), insurance companies and updates to existing CCPA rules, effective January 1, 2026. For advertising, the key line is section 7150(b)(1): "Selling or sharing personal information" is a processing activity that "presents significant risk to consumers' privacy" and requires a risk assessment before it starts.
| Requirement | Date | Source |
|---|---|---|
| Regulations take effect | January 1, 2026 | CPPA announcement |
| Risk assessment for selling or sharing begun before 2026 and still running | By December 31, 2027 | Regulations 7155(b) |
| Update a risk assessment after a material change | Within 45 calendar days | Regulations 7155(a)(3) |
| Attestation and summary of risk assessments submitted | By April 1, 2028 | CPPA announcement |
| ADMT rules for significant decisions | From January 1, 2027 | CPPA announcement |
| Cybersecurity audit certifications | April 1, 2028, 2029 or 2030, by revenue | CPPA announcement |
| Browsers must offer an opt out preference signal setting | Operative January 1, 2027 | Civil Code 1798.136 |
The regulations in force also require a business to show the result of a signal: under section 7025(c)(6) it "must display whether it has processed the consumer's opt-out preference signal," for example with the words "Opt-Out Request Honored."
How do opt out signals reach the ad chain?
Section 7025(b) says a valid opt out preference signal is in "a format commonly used and recognized by businesses," such as "an HTTP header field or JavaScript object," and the CPPA FAQ (opens in a new tab) names the Global Privacy Control, defined in the W3C's GPC Working Draft (opens in a new tab) of September 24, 2026. The Global Privacy Control guide covers the signal itself; this section covers California's rules for it.
A business that receives the signal must treat it as an opt out "for that browser or device and any consumer profile associated with that browser or device, including pseudonymous profiles," under section 7025(c)(1). In programmatic buying the publisher's page passes that choice on in the bid request. OpenRTB 2.6 (opens in a new tab) carries it in the Regs object, in the gpp field for the Global Privacy Platform string and gpp_sid for the applicable section, or in the us_privacy field.
IAB Tech Lab's GPP section list (opens in a new tab) gives California section ID 8, prefix usca. Its California specification includes a SharingOptOut field, where 1 means Opted Out and 2 means Did Not Opt Out, and a Gpc field that records whether the signal was present.
What a California opt out record shows end to end
- The site detects Sec-GPC or navigator.globalPrivacyControl and logs the choice for that browser.
- The site displays whether it processed the signal, as section 7025(c)(6) requires.
- Bid requests from that browser carry gpp with section 8 and SharingOptOut set to 1.
- Third parties that received data before the opt out were notified under section 7026(f)(2).
- Contextual placements remain in the plan as content choices, separate from any audience layer.
How does this look on a California campaign?
Fictional example
Water heater replacement in Sacramento and Fresno
An unnamed plumbing company that replaces water heaters in Sacramento and Fresno plans a spring campaign. Its agency builds a site list of home repair, energy saving and local news publishers, and sets the buying platform to California's Central Valley. The plan's notes cite the regulation's cookware and recipe site example as the closest official description of this layer.
The client's marketing team also asks for a retargeting audience of people who browsed water heater pages on other sites. The agency's notes place the wording of section 1798.140(k) beside this layer, and that bid requests from browsers sending GPC carry the California GPP section with SharingOptOut set. The decision on the audience layer goes to the client's privacy lead.
The plan keeps the two layers in separate line items. No compliance conclusion or campaign result is implied.
How does PlacementGraph build the contextual layer of a plan?
Frequently asked questions
Does the CCPA treat consumers under 16 differently for sharing?
Section 1798.120(c) bars a business from selling or sharing the personal information of a consumer it actually knows is under 16 unless the consumer, aged 13 to 15, or a parent or guardian for a child under 13, has affirmatively authorized it. Willfully disregarding a consumer's age counts as actual knowledge.
Will browsers have to send an opt out signal?
Section 1798.136, operative January 1, 2027, says a business shall not develop or maintain a browser that lacks a consumer configurable setting to send an opt out preference signal, and that the setting must be easy to find. It also protects browser makers from liability for how receiving businesses respond to the signal.
Can a business ask a consumer to override a GPC signal?
Section 7025(c)(3) says that when the signal conflicts with a business specific setting allowing sale or sharing, the business must process the signal as an opt out, but may notify the consumer and offer a chance to consent. If the consumer consents, the business may ignore the signal while the consumer is known to it.
Does a missing GPC signal mean the consumer opted back in?
Section 7025(c)(5) says that where the consumer is known to the business, the business shall not interpret the absence of a signal, after one was previously sent, as consent to opt in to the sale or sharing of personal information.
Sources
- California Consumer Privacy Act, effective January 1, 2026 (opens in a new tab)California Privacy Protection Agency
- CCPA regulations, effective January 1, 2026 (opens in a new tab)California Privacy Protection Agency
- California Finalizes Regulations to Strengthen Consumers' Privacy (September 23, 2025) (opens in a new tab)California Privacy Protection Agency
- Frequently Asked Questions (opens in a new tab)California Privacy Protection Agency
- Global Privacy Control (GPC), Working Draft (opens in a new tab)W3C
- OpenRTB 2.6: Regs object (opens in a new tab)IAB Tech Lab
- Global Privacy Platform: Section Information (opens in a new tab)IAB Tech Lab
- Code of Virginia, section 59.1-575, Definitions (opens in a new tab)Virginia General Assembly
Researched and written by PlacementGraph Research. Read how we research, source and update these pages. Corrections: diana@placementgraph.com.