Google will "anonymize" server logs after 18 to 24 months by changing some of the digits in logged IP addresses and altering cookie file information. Google describes it as a balance between having data to improve service and being open about the data it retains.
Federal officials have urged Internet companies to retain server log data for at least two years to help law enforcement. The industry has resisted, skeptical that such data would be valuable enough to justify the cost. For example, it doesn't take a high level of tech sophistication to avoid being identified by an IP address, says David McClure, CEO of the U.S. Internet Industry Association.
With its change, Google doesn't guarantee anonymity, only that it's highly unlikely a user could be identified. It's also highly unlikely that we've seen the end of the debate around search data.
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