European telecoms launch Utiq tracking system to replace cookies

Four of Europe’s biggest telecom companies have created a new way to track your online activity. Instead of relying on browser cookies, Utiq works directly through your internet service provider to follow you across websites.

The system, launched by Deutsche Telekom, Orange, Telefónica, and Vodafone in 2023, now operates across Germany, Austria, Spain, France, the UK, and Italy. By June 2025, Utiq claimed 26 telecom partners and more than 55 million users.

This represents a major shift in how online advertising works. As people become better at blocking cookies, advertisers need new ways to track behavior and serve targeted ads. Utiq promises to give users “real control and choice over their privacy” while still allowing personalized marketing.

The technology works differently than cookies. When you visit a participating website, your ISP or mobile provider can identify your connection and create anonymous tracking tokens. These tokens follow you across different sites without revealing your actual identity.

Here’s the four-step process:

  • You visit a website that uses Utiq and see a consent banner asking permission to track you through your network connection
  • If you agree, your ISP generates a unique “ConsentPass” token based on your connection details
  • Utiq creates additional encrypted tokens for advertisers and publishers to recognize you across websites
  • You can withdraw consent anytime through Utiq’s ConsentHub portal

The system only activates if your IP address belongs to a participating telecom company. Users can control their participation through a dedicated web portal where they can see which companies have their tokens and revoke access.

Privacy advocates have serious concerns about the technology. A peer-reviewed study from Universitat Politècnica de Catalunya found that Utiq tokens might be more intrusive than regular cookies because they can’t be cleared like browser data.

The research revealed another troubling finding. Every single website surveyed that used Utiq also employed additional tracking methods like fingerprinting. This suggests companies are adding Utiq to their existing tracking arsenal rather than replacing cookies with a more private alternative.

The system uses your phone number as the cryptographic foundation for generating tokens. While websites never see your actual phone number, this creates potential risks. If Utiq’s security was compromised or if a carrier leaked mapping data, advertisers could potentially link your online activity back to your real identity.

Utiq uses cryptographic techniques to make reverse-engineering phone numbers difficult. However, government agencies could potentially force both Utiq and carriers to cooperate through court orders.

A bigger practical concern is user behavior. Many people click through consent dialogs without reading them, just like they do with cookie banners. Few users know about the ConsentHub portal or check it regularly to manage their privacy settings.

The technology reflects broader changes in digital advertising. As cookies become less effective due to browser blocking and user awareness, companies are moving tracking deeper into internet infrastructure. This makes it harder for users to avoid without technical knowledge.

VPNs offer an effective solution. Since Utiq only activates when it detects an IP address from partner telecoms, using a VPN hides your real connection and prevents the system from working. The consent dialog simply won’t appear when you’re connected through a VPN server.

For now, Utiq only operates in Europe. But if successful, the technology could expand globally. The underlying approach has no geographic limitations, making it attractive to telecoms and advertisers worldwide.

The debate around Utiq highlights ongoing tensions between privacy and advertising. While the system includes consent mechanisms and opt-out tools, it still represents tracking technology built primarily to serve advertiser interests rather than protect user privacy.