fluffydelusions
Member
Earlier this week it was revealed that EA paid YouTube producers to say good things about Battlefield 4 when it launched, and to hold off any criticism until November 29th — a month after release.
EA paid out $200,000 to these YouTube producers, many of whom have over a million subscribers. While it’s understandable that the YouTube content makers deserve to earn money for their work, they did no disclose that they were paid to say nice things about Battlefield 4.
After the reveal that EA sponsored these videos, the company released a statement where they specifically said that YouTube producers must follow FTC guidelines and disclose that the content is sponsored. But very few, if any of the big-time YouTube producers did that.
The list of big YouTubers who were part of EA’s campaign counts LevelCapGaming, FrankieOnOC, JackFrags, and many others. With millions of subscribers, they were perfect for EA’s sponsorship — all of them posted videos that meet specifically EA’s criteria (“Battlefield 4 launch” in the title, a link to the EA’s official site in description, and more). None of them disclosed that they were paid by EA to do this.
LevelCapGaming, FrankieOnPC, JackFrags, and the rest have thereby broken FTC rules and could face serious fines from the government agency. EA could be in trouble as well.
Interestingly, after EA’s deadline on November 29, all of these YouTube producers started criticizing Battlefield 4 and its numerous problems. Up until then, they never said a word about the glitches, just as EA’s contract said.
http://bf4central.com/2014/01/youtube-producers-ea-broke-ftc-rules-battlefield-4-promotion/
Also the FTC weighed in on these events to Polygon:
Polygon said:Major companies paying YouTubers to promote their video games doesn't run afoul of the Federal Trade Commissions guidelines, and even if it did, it's unlikely a content creator would be fined, an FTC spokesperson tells Polygon.
"The guides are guidance to help advertisers and endorsers comply with federal advertising law," said Betsy Lordan, with the FTC Office of Public Affairs. "They are not legally enforceable, and there are no monetary penalties or penalties of any kind associated with them."
Earlier this week, news hit that Microsoft and Electronic Arts were paying YouTubers to create videos to promote their games. Under the separate programs, the content creators were asked to disclose that relationship.
That's likely because of the 2009 revised guides released by the FTC for endorsements and advertising. According to those guides, paid endorsements are fine as long as the fact that a endorser is being paid is "clearly and conspicuously" disclosed. Lordan declined to comment on whether the disclosure in these cases met that requirement.
http://www.polygon.com/2014/1/23/5337574/the-ftc-on-paying-youtubers-to-endorse-games