Earlier quoted context omitted.
All of the cookie banners have separate categories for strictly necessary, functional, performance and marketing, because those come from the law. The problem is that people generally want functional and often performance cookies, and then you end up with the stupid cookie banner regardless of marketing cookies.
Strictly necessary cookies don’t require explicit consent, and generally can’t be rejected. Functional cookies don’t require additional explicit consent if you actually use that function. “Performance” actually refers to analytics, probably rebranded because users did not want it. Making you think they had to ask for the reasonable cookies, too, is the whole trick being pulled here.
To not be indistinguishable from "strictly necessary" there would have to be a case where the "functional cookie" actually required consent, right? What case is that and how would you solicit that consent other than some kind of cookie banner?
> “Performance” actually refers to analytics, probably rebranded because users did not want it.
It refers to statistics, but sometimes you do want that, e.g. so the site can tell you how long it took you to do something compared to the average user, or provide those analytics to you. And the fact that this is ambiguous is an obvious problem -- if you get access to the data they collect is that "analytics" or "functional"?
In the face of an ambiguity, most corporate bureaucrats are going to take the risk-averse option, which is to ask for consent in case it turns out to be adjudicated as required ex post facto. The result is quite predictable. If you pass a poorly drafted law, businesses have a general preference for doing something stupid/wasteful/annoying over something that could get them sued or fined.