Machinima, FTC Settle Over Paid Influencers

The Federal Trade Commission said Thursday that it has approved a final consent order with Machinima, over the MCN's use of paid campaigns to pay influencers to post YouTube videso and product endorsements as part of an "influencer campaign". The FTC said the settlement prohibits Machinima from misrepresenting that any influencer is an independent user of its product or service, and also requires Machinima to educate its influencers on those requirements. No financial details of the settlement were details by the FTC, and the agency did not indicate any payment was made by Machinima in the settlement. Machinima had settled a related action with the New York Attorney General in February, over the same issue.