And I still don't think it's the browser's responsibility to help the ad company. This kind of stuff just doesn't belong in a markup standard. If ad company cannot exist with the way they currently track users due to GDPR or other regulations, and "need" some standard way for "privacy preserving tracking" - they can write their own browser that does it and give people incentives to use it.
By making it a standard that actually solves the needs of advertisers, the willingness to adopt it will increase because it's simpler.
That said, I think this proposal falls short of solving current tracking problems.
This can be addressed in law, but technical alternatives should exist. The alternative existing will also make it easier to pass it in law.
It's infected our news media, with ads masquerading as real news articles and news providers dripping with desperation to keep you frightened of the BREAKING IMPORTANT NEWS you MUST KNOW ABOUT right after this attempt to sell you razor blades.
It's infected our social media, where avatars that bear only the slightest of photoshopped similarity to the person they claim to be pretend to live a high-life, hiding their broke reality while trying to sell you herbal detox teas produced by failing corporations.
It's infected our telephone system, spammers trying to sell you a new rate on your student loan debt calling you 100 times more often than your own mother.
It's infected our email system, where no client without robust spam filtering is even usable, and you will delete 100 times more emails you never wanted to get than you will receive from your best friend.
Text messages. The postal system. Light polluting billboards on highways. You name it, if advertising has gotten its claws in it, it has either ruined or is ruining it.
Selling ads and selling users' PII are the two primary methods by which a website makes money. Both need to die.
Billions of dollars are at stake for companies that need to understand how their ads are working across ecosystems and to realize the value (or lack thereof) for media buys. Many of the sites that place media also are doing so to offset the costs for users.
There are few ways to toss a grenade in this complex room that does not harm all parties and force each to defend their own needs/wants.
A standardized, privacy-centric method for companies to accomplish attribution will help end the arms race and move back to a more consumer-friendly model. Small edges are worth a fortune in Ads. This is like the war on drugs. Clamping down and assuming ad companies will walk away is way too optimistic. Instead, they will move deeper into the shadows at whatever the cost.