Kayo, the popular online sports streaming service provided by Hubbl, is facing accusations of violating Australia’s stringent gambling advertisement regulations. The Australian Communications and Media Authority (ACMA) initiated an investigation into Kayo following a series of complaints from viewers. These complaints alleged that gambling adverts were being shown outside the allocated times during various live sports events.
Under current Australian regulations, online content providers are strictly prohibited from displaying gambling advertisements outside the hours of 5 am to 8.30 pm during live sports broadcasts. Additionally, these ads are not permitted within five minutes before and after any event. ACMA’s thorough investigation uncovered that 16 different gambling advertisements had been broadcast a total of 267 times during live sports events outside the permissible time slots.
In response to these findings, Hubbl attributed the breach to a system error that specifically affected users of the Kayo iOS application. The error persisted over a six-week period between February and March 2023.
Following the investigation, ACMA has issued a stern remedial direction to Hubbl, requiring the company to conduct an external audit of its technical systems and processes. This audit is expected to encompass an evaluation of the measures Hubbl has since implemented to prevent such breaches in the future. Failure to comply with this directive may result in substantial monetary penalties for Hubbl, potentially up to AU$626,000 (£328,766/€388,572/US$417,159) per day. These penalties would be determined at the discretion of the Australian Federal Court.
ACMA authority member Carolyn Lidgerwood did not shy away from expressing her disappointment and concern over the breach.
. “Online streaming services as well as broadcasters all have a responsibility to put robust systems in place so that they adhere to these long-standing gambling advertising rules,” Lidgerwood stated. She emphasized the importance of these rules in diminishing viewer exposure to gambling advertisements, particularly for impressionable young audiences and those vulnerable to gambling-related harms. “In this case, Hubbl has let those viewers down,” Lidgerwood concluded.
Primarily, ACMA’s focus remains on the actions of gambling operators. In a related move, last week, the authority requested the blocking of three more offshore gambling websites, which were found to be operating illegally. These sites, identified as A Big Candy, Jackpoty, and John Vegas Casino, were flagged for breaching the Interactive Gambling Act 2001 by offering online casino games without the appropriate licenses.
Since the beginning of this year, ACMA has escalated its efforts against illegal online gambling, issuing 31 blocking requests against websites it deems to be conducting illegal gambling operations. This proactive approach illustrates ACMA’s unwavering commitment to clamp down on unauthorized gambling activities and enforce compliance with Australia’s regulatory framework.
The recent incident involving Kayo raises significant questions about the responsibility and technical robustness of online streaming platforms operating within these regulatory confines. It underscores the necessity for these platforms to implement fail-safe systems and stringent monitoring mechanisms to ensure adherence to regulations, thereby protecting vulnerable populations from potential harm.
In conclusion, the case of Kayo’s breach highlights an essential area for improvement within the digital content and online streaming industry. As ACMA continues its vigilance over gambling-related breaches, the authority’s actions send a strong message to all online content providers about the importance of regulatory compliance and the serious consequences of failing to adhere to these regulations. Hubbl’s impending external audit and the potential for substantial financial penalties underscore the critical need for accountability and technological rigor in the broadcasting and streaming of live sports content. The industry awaits to see the outcomes of Hubbl’s audit and the subsequent steps the company will take to prevent reoccurrences of such breaches, thereby fostering a safer and more regulated viewing environment for all audiences.