Tom Syndicate and others were paid $30,000 for positive XboxOne promos
The US Federal Trade Commission has found that Machinima paid a group of YouTubers tens of thousands of dollars to promote the launch of Microsoft’s Xbox One without declaring the videos were the result of a lucrative advertising deal.
As part of the deal the videos had to “showcase Microsoft products in positive light”.
YouTuber Syndicate was paid $30,000 and SkyVsGaming $15,000 as part of the deal. Neither disclosed that Machinima paid them to create and upload their videos.
Machinima then paid more YouTubers a total of $25,000 to create videos that “could not contain anything negative or disparaging regarding Machinima, Xbox One, or any launch title” and “keep confidential at all times all matters relating to [the] agreement.”
The FTC found that the promotions were not independently produced or impartial and labelled them “false and misleading”.
“In numerous instances, [Machinima] has failed to disclose, or disclose adequately, that the individuals who posted the reviews were compensated in connection with their endorsements,” it said.
“This fact would be material to consumers in their purchasing decisions regarding Xbox One and the Launch Titles. The failure to disclose this fact, in light of the representations made, was, and is, a deceptive practice.”
Posted:
Related Forum: Xbox Forum
Source: https://www.vg247.com/2015/09/03/youtubers-paid-for-false-misleading-xbox-one-promo/
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Comments
DevilPosted:
Why is it such a suprise? I mean lots of people get paid to rep products. I would love to get paid 30k to say something good about a product.
SeanPosted:
Rin Can't believe some of you are defending this. People were bashing on game review companies for being paid to give out good ratings for games. But when a big YouTuber does the exact same practice, it's no big deal! It doesn't matter if they were being honest or not, they still hid the fact that it was an ad.
It's not possible to defend it if everywhere online did this reviews would be totally pointless I'm sure if you take a good look at their videos there wont be just this case I'm sure there are lots.
HuracanPosted:
I don't see what the big deal is, people have always gotten paid to say how good a product is. Even before YouTube.
SagePosted:
Eli Damn they were getting paid some good money.
Tell me about it would love to get paid 30k to promote xbox ones
Toasty-Posted:
They only got that money because they are known. If someone that wasn't well known did that they wouldn't get anything.
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