Breaking News
Investing Pro 0
New Year’s SALE: Up to 40% OFF InvestingPro+ CLAIM OFFER

Google, iHeartMedia settle charges of deceptive Pixel 4 ads with FTC, U.S. states

Stock Markets Nov 28, 2022 04:27PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
2/2 © Reuters. A woman takes a look on the new Google Pixel 4 smartphone displayed during a Google launch event in New York City, New York, U.S., October 15, 2019. REUTERS/Eduardo Munoz/File Photo 2/2
 
GOOGL
+1.90%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
GOOG
+1.56%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
IHRT
+0.65%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

By Kanishka Singh

WASHINGTON (Reuters) -The U.S. Federal Trade Commission and seven U.S. states reached a settlement with Alphabet (NASDAQ:GOOGL) Inc's Google and iHeartMedia (NASDAQ:IHRT) Inc over allegations of deceptive ads promoting Google's Pixel 4 smartphone, the FTC said.

The FTC said in a statement on Monday that the companies aired nearly 29,000 deceptive endorsements by radio personalities promoting their use of and experience with Google's Pixel 4 phone in 2019 and 2020.

The allegations were settled by the companies, who agreed to pay $9.4 million in penalties, the FTC said.

"Google and iHeartMedia paid influencers to promote products they never used, showing a blatant disrespect for truth-in-advertising rules," FTC official Samuel Levine said.

In 2019, Google hired iHeartMedia and 11 other radio networks in 10 major markets to have on-air personalities record and broadcast endorsements of the Pixel 4 phone, according to the FTC.

Google said it was pleased to resolve this case.

"We take compliance with advertising laws seriously and have processes in place designed to help ensure we follow relevant regulations and industry standards," a Google spokesperson said in an emailed statement.

While Monday's penalty was small, Google and big tech firms have faced scrutiny from regulators recently. Google is also fighting claims in court over its search and advertising practices.

Earlier this month, the company agreed to pay nearly $400 million to settle allegations by 40 U.S. states that the search and advertising company illegally tracked users' locations. The U.S. Justice Department sued Google in 2020, accusing it of antitrust violations in its search business, claims that Google denied.

The seven states to join the FTC were New York, Arizona, California, Georgia, Illinois, Massachusetts and Texas.

The ads ran in English and Spanish and violated consumer protection laws, the FTC and the seven states alleged.

Google, iHeartMedia settle charges of deceptive Pixel 4 ads with FTC, U.S. states
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.
  • Any comment you publish, together with your investing.com profile, will be public on investing.com and may be indexed and available through third party search engines, such as Google.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email