Sky may lose $181m a year as Ofcom revises ad limits on PSB channels

Sky may lose $181m a year as Ofcom revises ad limits on PSB channels
Ofcom's rules were introduced in 1991 to support the then-fledglings to flourish. (AFP/File).
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Updated 26 December 2022

Sky may lose $181m a year as Ofcom revises ad limits on PSB channels

Sky may lose $181m a year as Ofcom revises ad limits on PSB channels
  • Ofcom is considering allowing ITV1, Channel 4 and Channel 5 to increase the number of evening ads from 40 to 60 minutes
  • The decision on the potential ad rule changes is expected to be published in early 2023

LONDON: Sky’s pay-TV service could be braced for annual losses of about $181 million in advertising revenue owing to proposals to allow Britain’s major free-to-air broadcasters to run as much advertising as rivals are permitted.

Ofcom, the UK’s communications regulator, announced that it is revising rules that prevent public service broadcasters ITV, Channel 4, and Channel 5 from profiting as much as non-PSB channels from advertising, The Guardian reported.

The rules, introduced in 1991, supported UK pay-TV and cable companies, including Sky, through allowing their channels to air more minutes of ads per day and enjoy unlimited ad-break durations.

Ofcom is considering allowing the PSBs’ main channels – ITV1, Channel 4 and Channel 5 – to increase the number of evening ads (airing between 6 p.m. and 11 p.m.) from 40 to 60 minutes, and the total for the day from 168 to 216 minutes, in addition to scrapping the regulation restricting individual ad breaks to a maximum length of 3 minutes, 50 seconds.

This, according to Ofcom, would level the playing field for all broadcasters.

The Incorporated Society of British Advertisers, which represents most of the UK’s advertisers, said if the rules are reviewed, Sky could find up to £150 million ($181 million) of advertising per year is lost to ITV — given its current market share.

“We would anticipate that the proposed changes will simply move ad-spend away from smaller broadcasters towards the largest commercial public service broadcasters,” said Paramount, the US TV giant that owns Channel 5, MTV, and Comedy Central, in a proposal to Ofcom.

Channel 5 said that it was against any regulation change. However, ITV and Channel 4 argued that with the significant rise in TV ad costs, which have increased by 30 percent in the last year alone, boosting the supply by hundreds of hours annually would make commercial airtime cheaper compared to shifting budgets to online media companies.

“This should help reduce the inflationary pressures and so make the commercial TV ad market overall more competitive with the likes of Google, Amazon and Facebook,” ITV said.

Channel 4 added that with more than 480 non-PSB channels thriving in the UK, the scheme designed to support the early survival of the then-fledglings is no longer needed.

Ofcom, which has reviewed the rules in 2011 and 2015 but each time decided against any amendments, said that this time it was taking into account “sustaining our traditional broadcasters, which includes helping them compete with American streaming platforms.”

Coba, the association for commercial broadcasters and on-demand services, whose members include Sky, Discovery, and Walt Disney, argued that adding about 850 hours of new advertising space a year will not only be bad for viewers, but will significantly reduce ad prices, and that the UK TV market could ultimately lose as much as £300 million.

However, ITV said: “Audiences are unlikely to be negatively impacted by a small increase in peak-time advertising on PSB channels.

“The wider commercial market is unlikely to be significantly affected, and commercial television as a whole may benefit by becoming more competitive versus the global streamers.”

Ofcom is expected to publish its decision on the potential ad rule changes early next year.

ITV’s advertising sales operation makes about £2 billion annually, while Channel 4, which also sells ads on third-party channels including BT Sport and Dave for the Gold owner UKTV, makes about £1.2 billion.

In addition to Sky’s multibillion pound pay-TV, broadband and mobile business, the company’s ad sales department makes about £1.4 billion in revenues annually.


China deletes 1.4 million social media posts in crack down on ‘self-media’ accounts

China deletes 1.4 million social media posts in crack down on ‘self-media’ accounts
Updated 27 May 2023

China deletes 1.4 million social media posts in crack down on ‘self-media’ accounts

China deletes 1.4 million social media posts in crack down on ‘self-media’ accounts
  • About 67,000 social media accounts closed and hundreds of thousands of posts between March 10 and May 22 deleted
  • Beijing frequently arrests citizens and censors accounts for publishing or sharing factual information considered sensitive or critical

BEIJING: China’s cyberspace regulator said 1.4 million social media posts have been deleted following a two-month probe into alleged misinformation, illegal profiteering, and impersonation of state officials, among other “pronounced problems.”
The Cyberspace Administration of China (CAC) said in a statement on Friday it had closed 67,000 social media accounts and deleted hundreds of thousands of posts between March 10 and May 22 as part of a broader “rectification” campaign.
Since 2021, China has targeted billions of social media accounts in a bid to “clean” its cyberspace and make it easier for authorities to control.
The latest crackdown targeted accounts on popular Chinese social media apps including WeChat, Douyin, and Weibo that fall under the category of “self media,” a term that broadly refers to accounts that publish news and information but are not government-run or state-approved.
Beijing frequently arrests citizens and censors accounts for publishing or sharing factual information considered sensitive or critical of the Communist Party, the government or the military, especially when such information goes viral.
Of the 67,000 accounts that were permanently closed, almost 8,000 were taken down for “spreading fake news, rumors, and harmful information,” according to CAC.
Around 930,000 other accounts received less severe punishments, from being removed of all followers to the suspension or cancelation of profit-making privileges.
In a separate campaign, the regulator recently closed over 100,000 accounts that allegedly misrepresented news anchors and media agencies to counter the rise of online fake news coverage aided by AI technologies.
The CAC on Friday said its latest campaign had targeted almost 13,000 counterfeit military accounts, with names such as “Chinese Red Army Command,” “Chinese Anti-terrorist Force” and “Strategic Missile Force.”
Some 25,000 other accounts were targeted for impersonating public institutions, such as disease and prevention control centers and state-run research institutes.
Almost 187,000 were punished for impersonating news media businesses, while over 430,000 allegedly offered professional advice or educational services without having relevant professional qualifications.
Around 45,000 accounts were closed for “hyping hot issues, clout-chasing and illegal monetization.”
The regulator said it had “actively coordinated with public security, market supervision and other departments, to deliver a heavy blow and rectify illegal ‘self-media’.”
“At the same time, (we) also call on the majority of netizens to actively participate in monitoring and reporting (illegal ‘self-media’), provide clues ... and jointly maintain a clean cyberspace,” it added.


Starzplay and NMPRO unveil original film ‘Big Lie’ at red-carpet premiere event

Starzplay and NMPRO unveil original film ‘Big Lie’ at red-carpet premiere event
Updated 26 May 2023

Starzplay and NMPRO unveil original film ‘Big Lie’ at red-carpet premiere event

Starzplay and NMPRO unveil original film ‘Big Lie’ at red-carpet premiere event
  • The movie explores the dark side of social media, particularly the influential and dangerous role it can play in people’s lives
  • “Big Lie” will be released on Starzplay soon, said Tony Saab, senior vice president of content and strategic partnerships at the platform

DUBAI: Streaming platform Starzplay unveiled its original film “Big Lie” at a premiere event hosted in collaboration with Middle Eastern production company NMPRO at the Grand Cinemas ABC Verdun in Beirut, Lebanon.
The movie explores the dark side of social media, particularly the influential and dangerous role it can play in people’s lives.
The film is the result of a “long-term partnership built on shared values, a unified vision, and a mutual commitment to delivering exceptional content” between the two companies, said Nadim Mehanna, producer and director of “Big Lie” and founder of NMPRO.
“Big Lie” will be released on Starzplay soon, said Tony Saab, senior vice president of content and strategic partnerships at the platform.
He added: “As part of our commitment to delivering surprises every month, our content acquisition and production strategy focuses on frequently releasing Starzplay originals in collaboration with esteemed production houses across the region.”
The premiere was attended by stars such as Heba Nour, Sandy Farah, Fouad Yammine, Yaaqoub Chahine, Laura Khabbaz, and Sharbel Zyadeh, as well as executives from Starzplay and NMPRO.


Twitter likely to quit EU code against disinformation, EU official says

Twitter likely to quit EU code against disinformation, EU official says
Updated 26 May 2023

Twitter likely to quit EU code against disinformation, EU official says

Twitter likely to quit EU code against disinformation, EU official says
  • Code sets a range of self-regulatory commitments, measures to counter online disinformation
  • Company will not quit Europe, official said

BRUSSELS: Twitter is likely to pull out from a voluntary EU code of practice to tackle disinformation, but the move does not mean it will quit Europe, an EU official said on Thursday.
The European Commission beefed up the code last year, requiring companies to submit regular progress reports with data on how much advertising revenue they had averted from disinformation actors.
New obligations include providing information on the number or value of political advertisements accepted or rejected and instances of manipulative behaviors detected.
Twitter has given signs that it will leave the code, the EU official said, adding that it does not make a big difference as the company has not been putting in a lot of effort recently.
“It just means that they won’t attend meetings and not issue reports. They would still have legal obligations,” the official said, referring to landmark tech rules adopted recently to which the code of practice is linked.
“They are not pulling out of Europe,” the official said.
Twitter did not respond immediately to a request for comment.
Violations of the tech rules can cost companies fines as much as 6 percent of their global turnover.
Companies signed up to the code include Alphabet’s Google, Meta Platforms, Microsoft and TikTok.


Virtuzone launches world’s first AI tax assistant in UAE

Virtuzone launches world’s first AI tax assistant in UAE
Updated 26 May 2023

Virtuzone launches world’s first AI tax assistant in UAE

Virtuzone launches world’s first AI tax assistant in UAE
  • TaxGPT helps businesses navigate changing corporate tax environment 

LONDON: The world’s first AI-powered corporate tax assistant has been launched in the UAE by Dubai-based formation specialists and corporate services provider Virtuzone.

Powered by the GPT-4 AI model from US AI research lab OpenAI, TaxGPT is designed to help businesses in the UAE navigate corporate tax law.

“Innovation is at the heart of everything we do at Virtuzone,” said CEO George Hojeige.

“We’re committed to enhancing the entrepreneurial experience by integrating next-gen technologies like AI into our tools and processes, ultimately elevating the state of entrepreneurship in the country.”

Trained to provide answers based on information from the UAE’s Ministry of Finance and the Federal Tax Authority, the AI-powered tax assistant learns and adapts to legislative changes, aiming to keep businesses up to date with corporate tax regulations.

By leveraging AI technology, Virtuzone aims to equip entrepreneurs with the knowledge to transition into the UAE’s new tax regime, set to launch on June 1.

“TaxGPT is just one of the tools we have created to make it easier for entrepreneurs and businesses to navigate the new tax law and the country’s dynamic business landscape,” said John Casey, general manager at Virtuzone accounting and tax.

“We understand that the new tax regime can seem like uncharted territory for many businesses, and that is why we are here to provide expert guidance and assistance.”

TaxGPT follows Virtuzone’s launch of SWYFT Plan, an AI-driven business plan builder compliant with free zone authorities and banks in the UAE.

The company has also introduced a number of technology-led tax and accounting assistant initiatives, including corporate tax and business setup cost calculators, as well as a metaverse HQ.

Virtuzone is also partnered with cryptocurrency exchange Binance to accept payment via Binance Pay.


Microsoft chief says deep fakes are biggest AI concern

Microsoft chief says deep fakes are biggest AI concern
Updated 26 May 2023

Microsoft chief says deep fakes are biggest AI concern

Microsoft chief says deep fakes are biggest AI concern
  • Brad Smith urged for system to recognize AI-generated photos and videos
  • Microsoft president also called for licensing most critical forms of AI

WASHINGTON: Microsoft President Brad Smith said Thursday that his biggest concern around artificial intelligence was deep fakes, realistic looking but false content.
In a speech in Washington aimed at addressing the issue of how best to regulate AI, which went from wonky to widespread with the arrival of OpenAI’s ChatGPT, Smith called for steps to ensure that people know when a photo or video is real and when it is generated by AI, potentially for nefarious purposes.
“We’re going have to address the issues around deep fakes. We’re going to have to address in particular what we worry about most foreign cyber influence operations, the kinds of activities that are already taking place by the Russian government, the Chinese, the Iranians,” he said.
“We need to take steps to protect against the alteration of legitimate content with an intent to deceive or defraud people through the use of AI.”
Smith also called for licensing for the most critical forms of AI with “obligations to protect security, physical security, cybersecurity, national security.”
“We will need a new generation of export controls, at least the evolution of the export controls we have, to ensure that these models are not stolen or not used in ways that would violate the country’s export control requirements,” he said.
For weeks, lawmakers in Washington have struggled with what laws to pass to control AI even as companies large and small have raced to bring increasingly versatile AI to market.
Last week, Sam Altman, CEO of OpenAI, the startup behind ChatGPT, told a Senate panel in his first appearance before Congress that use of AI interfere with election integrity is a “significant area of concern,” adding that it needs regulation.
Altman, whose OpenAI is backed by Microsoft, also called for global cooperation on AI and incentives for safety compliance.
Smith also argued in the speech, and in a blog post issued on Thursday, that people needed to be held accountable for any problems caused by AI and he urged lawmakers to ensure that safety brakes be put on AI used to control the electric grid, water supply and other critical infrastructure so that humans remain in control.
He urged use of a “Know Your Customer“-style system for developers of powerful AI models to keep tabs on how their technology is used and to inform the public of what content AI is creating so they can identify faked videos.
Some proposals being considered on Capitol Hill would focus on AI that may put people’s lives or livelihoods at risk, like in medicine and finance. Others are pushing for rules to ensure AI is not used to discriminate or violate civil rights.