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The victory of Google in major case on the Italian gambling advertising ban might become a major milestone within the industry.
The case against Google on the Italian Gambling Advertising Ban
In July 2022, Google Ireland Limited (“Google“) received a fine of 750,000 euros from the Italian Communications Authority (AGCOM) for an alleged breach of Italy’s gambling advertising ban in collaboration with a YouTube influencer.
Specifically, AGCOM imposed:
- A fine of 700,000 euros on the video content creator (the influencer) for endorsing gambling products and services on his website and YouTube channels.
- A penalty of 750,000 euros on Google for permitting the distribution of such content on YouTube, contravening the Italian prohibition against advertising games with cash prizes.
AGCOM held Google accountable for the materials presented on the YouTube channels managed by the influencer. AGCOM’s stance was based on the following:
- The designation of the gambling influencer as a “verified partner” on YouTube obligated Google to ensure the absence of unlawful content on the influencer’s channel;
- Evidence of the illicit behavior was found in the regular video uploads where various gambling websites offering cash prizes were endorsed. These videos also offered subscription options to the channel, with payments made directly to the video-sharing service provider in three different price tiers, each coming with its own set of benefits; and
- Videos on YouTube encouraged users to submit their own footage showcasing gambling victories. In return for payment, the best winning videos would be broadcasted.
Google’s winning appeal against AGCOM’s decision
The Italian Regional Administrative Court for Lazio recently overturned a previous ruling, clearing Google of sanctions and spotlighting the contentious issue of Internet Service Providers’ liability.
The court’s decision hinged on general principles pertaining to entities providing “information society services”, which encompass the hosting of user-generated content. According to the EU eCommerce Directive and the Digital Services Act, a hosting service provider isn’t accountable for user-stored information unless they are aware of its illicit nature and don’t act swiftly to eliminate it upon gaining knowledge, typically via a court order. Simply put, unless they intentionally promote or distribute it, hosting providers aren’t liable for user content.
Regarding the YouTube platform managed by Google, the court deduced that Google had adhered to these guidelines. Although YouTube housed promotional gambling videos, Google promptly eliminated the contested content when notified by the Authority. Consequently, the court ruled that Google wasn’t actively endorsing the prohibited material.
This verdict carries significant ramifications for online platforms and comparable service providers. It bolsters the defense of hosting operators against automatic culpability for user-uploaded content, barring their direct involvement in endorsing illicit content. The decision underscores the necessity of expeditious action to purge illegal content once providers become cognizant of it, reinforcing both the safeguarding of hosting operators and the urgency of removing prohibited content promptly.
On a similar topic, you can find the following article useful “Meta faces a EUR 750K fine for brazenly flouting the Italian gambling advertising ban“.
Authors: Giulio Coraggio and Vincenzo Giuffré
Photo by Mitchell Luo on Unsplash
