Two of the world’s most powerful advertising firms, Omnicom and Interpublic Group (IPG), have formally agreed to dismantle their involvement in politically driven advertising coordination, marking a major policy reversal amid a growing federal crackdown on viewpoint-based censorship in the media economy.
The firms, who are set to merge in a $13.5 billion deal approved Monday by the Federal Trade Commission, will be subject to rigorous compliance mandates and are now bound by a commitment to cease all current and future coordination aimed at directing advertising revenue based on political beliefs.
The consent agreement represents a rare and forceful rebuke of ideological collusion within the advertising sector and comes following allegations from media outlets that they were demonetized and blacklisted by advertisers over their political views or coverage.
Under the terms outlined by FTC Chairman Andrew Ferguson, Omnicom and IPG must fully cooperate with federal investigations into past practices and submit regular reports demonstrating compliance.
The proposed order “imposes restrictions that prevent Omnicom from engaging in collusion or coordination to direct advertising away from media publishers based on the publishers’ political or ideological viewpoints,” the FTC said.
We obtained a copy of the order for you here.
The new conditions prohibit the merged entity from participating in any initiative that influences ad placement based on ideological or political criteria. In addition to annual reporting, the companies must provide immediate documentation to the FTC upon request and support inquiries into previous coordination to blacklist media organizations.
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