Not quite. They will block some 3rd party tracking cookies that fall on their tracking blacklist. If you want to block all 3rd party cookies you have to explicitly disable them.
We're working to understand what legitimate use cases are broken without 3p cookies so we can work with Google to backfill them. FLOC helps ad trackers track but doesn't help with any of the legitimate uses of 3p cookies like auth.
I guess the tradeoff being made here is just leaning into our reliance on the certificate authority system. Whereas before, with third party cookies, you might have had more flexibility with how you structure your domains.
Front channel logout is also broken, part of the OIDC spec. It opens iframes to sites, but the sites don't get their cookies and can't write them.
I have sympathy for anybody with a legitimate use for third-party cookies whose life has been made more difficult by bad actors abusing features to maximise their own profits.
Same tragedy that finally caused origin-based cache partitioning at the expense of some performance.
https://twitter.com/jason_kint/status/1383391849902075911 (video in thread)
Not true, FireFox and Safari have had them off by default for over a year now. Additionally Chrome had planned to turn them off last year but then cried "covid" which for some reason = delay... because... think of the adverts! i mean covid!
Anyway, I'm pretty sure any large websites relying on 3rd party cookies for functionality will have already experienced users blocking issues. We have and have already been forced to change, we don't do ads, but our use case is a bit esoteric in that it needed 3rd party cookies for sessions.