The FTC is pushing ad agencies to drop brand safety rules

The Federal Trade Commission (FTC) and a group of eight states announced a Proposed settlement With large ad agencies that will prevent them from working together to avoid certain platforms like X based on their political views.

in complaintThe FTC says ad agencies violated antitrust rules by agreeing to a common set of brand safety rules, which would disfavor sites and services deemed to contain content such as misinformation. This includes creating groups such as the now-defunct Global Alliance for Responsible Media (GARM) of the International Federation of Advertisers, to coordinate collective efforts on brand safety.

GARM was named as one of a group of defendants in a 2024 lawsuit in which X alleged they violated antitrust laws and Conduct an “unlawful boycott” the The organization disbanded soon after. Late last month, Judge The case was dismissed with prejudice – saying that “the nature of the alleged conspiracy does not provide for an antitrust claim.”

The FTC also alleges that organizations like NewsGuard, the Global Disinformation Index (GDI), Check My Ads, and Media Matters for America labeled “unfavorable opinions as misinformation” and pressured ad buyers to “demonize sites that hosted or shared such content.” There were media issues too Lawsuit against X To report finding ads for major brands alongside pro-Nazi content.

If a federal judge approves the order, ad agencies WPP, Publicis and Dentsu would be barred from entering into agreements with other ad agencies that would limit any publisher’s ad buying “in connection with political or social news and commentary content,” must file annual compliance reports for five years after the order is finalized, and must appoint a compliance monitor who will serve for five years.

“Dentsu remains fully committed to operating with transparency, integrity, and in strict compliance with all applicable laws,” Dentsu spokesman Jeremy Miller said in a statement. “Our dedication to delivering value and maintaining the highest standards of compliance remains unchanged.” A WPP spokesperson declined to provide a statement attributed to Edge.

A GDI spokesman noted Edge to A Financial Times Opinion article It was published in January by co-founder and CEO Claire Milford. “Informed transactions between buyers and sellers is one of the fundamental principles of the free market,” Milford said. “Far from coercion or censorship, GDI is just one member of a community seeking to make the Internet a safer place for businesses and citizens alike.”

(Milford US Visa It was rejected late last yearWith Secretary of State Marco Rubio saying that The presence of Milford and four others in the “global control-industrial complex” would have “potentially serious negative consequences for the foreign policy of the United States.”)

“This is supposed to be a case of collusion, but we do not work with ad agencies that sign a consent order and our ratings are based on nonpartisan journalistic standards, not political leaning,” Gordon Crovitz, co-CEO of NewsGuard, says in a statement.

Will Gilroy, a member of the International Federation of Advertisers, declined to comment. Publicis did not respond to a request for comment.

“This illegal collusion not only harmed our marketplace, it also distorted the marketplace of ideas by illegally discriminating against expression and ideas below agreed-upon minimums,” FTC Chairman Andrew Ferguson said in a statement. “The proposed order addresses the risks inherent in collusive practices and restores competition to the digital news ecosystem.”

last year, Federal Trade Commission approved The merger between two other large advertising companies, Omnicom and IPG, if includes a similar ban on targeting ad buys based on “political or ideological views.”