Australian Communications and Media Authority (ACMA) may issue a fine to Kayo due to suspected violations of advertising regulations

ACMA Issues Remedial Direction to Kayo Over Gambling Ad Breach

The Australian Communications and Media Authority (ACMA) has issued a remedial direction to the video sports streaming service Kayo, owned by Foxtel, for allegedly breaching the country's gambling advertising rules.

The breach occurred during the six weeks between February and March 2023, with 16 different gambling advertisements being aired during the forbidden time frame of 5 am to 8:30 pm. The ads were shown across 267 different live sporting events.

The ACMA's investigation found that Kayo aired these ads during an Australian Football League match in May 2022, as well as during other sporting events. This incident follows a previous warning issued by the ACMA over a similar gambling ad breach in the spring of 2023.

The remedial direction was issued due to Kayo allegedly breaching Australia's gambling advertising rules, which prohibit gambling ads from being shown during the five minutes prior to and after a live sporting event. The rules are in place to reduce viewer exposure to gambling ads, particularly for impressionable young audiences and those vulnerable to gambling harms.

In response to the incident, ACMA authority member Carolyn Lidgerwood expressed disappointment over the breach, stating that Hubbl had "let those viewers down". Lidgerwood emphasized the shared responsibility of online streaming services and broadcasters to adhere to long-standing gambling ad regulations.

To determine the cause of the alleged gambling advertising breach, an external audit will be conducted on Kayo's technical systems and processes. The company will need to undergo this full external audit to establish whether a system error targeted iOS device users caused the breach.

If Kayo fails to comply with the external audit's requirements, it may be subject to a federal court order. In such a case, Kayo could face fines of up to A$626,000 per day. The external audit will help the ACMA determine the cause of the breach and ensure that appropriate measures are taken to prevent future incidents.

Earlier in the month, the ACMA announced a crackdown on illegal gambling, blocking offshore sites A Big Candy, Jackpoty, and John Vegas Casino. This action underscores the ACMA's commitment to enforcing gambling regulations and protecting viewers from harmful content.

Australian Communications and Media Authority (ACMA) may issue a fine to Kayo due to suspected violations of advertising regulations