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Google settled a $5 billion class action lawsuit over this fact in 2023, though to little practical effect:

<https://apnews.com/article/google-incognito-mode-tracking-la...>

Yes, "Incognito" largely only removes local activity history, doing little if anything to disable remote tracking. Though there's some (very slight) advantage in having cookies and the like be made temporary. Access to other identifiers, including Google's ad identity and device-specific identifiers is probably still available. (I'm hazy on this and the situation changes, though at a ground level capacity-to-track largely remains intact over time).

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