The Australian Communications & Media Authority (ACMA) is investigating Disney+ over allegations that the streaming platform is using a loophole to show gambling ads during its broadcasting.
In Australia, from 5 a.m. to 8:30 p.m., gambling ads are banned from five minutes before the start of a live sports event until five minutes after it ends. However, Disney+ has been showing ads promoting betting during ESPN’s sports broadcasts for months.
ESPN, which was previously available only on Foxtel and Fetch platforms, was granted a special exemption from the daytime ban on gambling ads due to its low audience share. However, since March, ESPN has been available to stream through Disney+.
With 3.3 million subscribers in Australia, Disney+ would not usually qualify for an exemption under the low audience share rule. However, as the company is directly screening the ESPN coverage, it has been showing gambling ads to its wider audience.
The ACMA has now issued a statement declaring it is investigating the company over its practices. It stated, “The ACMA is concerned about Disney+’s practice and we are urgently seeking additional information from the company about whether its practices align with community expectations, regardless of its interpretation of the applicable rules.”
Disney Defends Actions, Others Call Actions a Disgrace
Disney issued a response defending its actions. A spokesperson commented, “Advertising on ESPN channels on Pay TV, including on simulcast digital feeds of the channels on Disney+, is compliant with all applicable regulations and codes. In addition, we have robust parental controls in place on Disney+ to manage viewing preferences.”
In addition to the ban during live sports, gambling ads are prohibited at any time of the day during content directed at children. Whilst parents can set controls through the Disney+ platform, critics argue the company should have a complete ban on any gambling advertising, given its popularity among children.
Tim Costello from the Alliance for Gambling Reform had strong words for the company, commenting, “We know the impact gambling ads have on kids. We know the dangers of combining sport and gambling and kids. Disney, the maker of the world’s most loved kids’ movies like Lion King and Cinderella, are now ramming ads for an adult product down kids’ throats. It’s a disgrace.”
The ACMA has previously issued fines to companies that have violated the country’s gambling ad rules. It fined TV channel Seven $13,320 for screening a gambling ad during the restricted hours in 2023.
Costello called for stronger action, stating, “We’ve had enough hearing the line that broadcasters have made a mistake and gotten off with (another) warning. These commercial organisations know how to do their job, they know their responsibilities, and they also know where the loopholes are.”
Call for Complete Ban on Gambling Ads
The Alliance for Gambling Reform has been one of the voices calling for a complete ban on gambling ads. Cricketer Usman Khawaja similarly called for a blanket ban to protect children. He claims minors are frequently exposed to gambling ads, which is increasing underage betting.
He stated, “The relationship that young kids are having with gambling is scary and it’s dangerous. We are normalising gambling for the younger generation.
“I can’t watch an NRL game without getting odds right before a game. I play grade cricket with young cricketers who are coming through. There are 16-year-olds with gambling accounts and they cannot watch the game without putting a bet on.”
Khawaja was part of a roundtable discussing gambling advertising in August. The government has been criticized for delaying action on the Murphy Report in 2023, which recommended a complete ban on gambling ads in sports, among other reforms.
Prime Minister Anthony Albanese remains unconvinced that a complete ban is the best solution. He said that this risks sending bettors to unregulated betting platforms offshore.
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The Australian Communications & Media Authority (ACMA) is investigating Disney+ over allegations that the streaming platform is using a loophole to show gambling ads during its broadcasting. In Australia, from 5 a.m. to 8:30 p.m., gambling ads are banned from five minutes before the start of a live sports event until five minutes after it
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