Ad Industry Watchdog Refers Spectrum Mobile To Regulators

An ad industry watchdog says it will refer Spectrum Mobile to government regulators, because the company did not participate in a proceeding over allegedly misleading 5G ads.

The proceeding stemmed from a challenge by AT&T to Spectrum Mobile ads that began appearing in March on television, the radio and on the company's website.

The TV ads included boasts such as "Now, Spectrum has 5G," while the website shows “5G” in large font, according to the National Advertising Division, a self-regulatory program operated by BBB National Programs.

The television ads included a small-print disclaimer saying “service not available in all areas,” while the website had a similar disclosure that appeared in small font and was only visible to users who scrolled.

AT&T alleged that the ads were misleading on the grounds that they didn't clearly disclose the limited availability of Spectrum's 5G service.

The National Advertising Division handled AT&T's challenge through a new fast-track program that addresses challenges within 20 days -- far shorter than the typical period of four to six months.

Among other types of disputes, the program handles cases where advertisers allege that rivals have made misleading claims.

Spectrum objected to the fast-track review, arguing that the challenge to its ads dealt with “implied” claims, which are not eligible for expedited review.

The self-regulatory group rejected Spectrum's argument on that point, writing that the 5G claims were “express.”

“Both visually and in voiceovers, the express '5G' claim appeared throughout Spectrum’s television and radio commercials, and website,” the organization wrote.

It added that those types of boasts fall within the “category of express claims that do not require review of complex evidence or substantiation.”

Spectrum refused to participate further in the review, according to the National Advertising Division. The group said it is “disappointed that the advertiser declined to participate in the self-regulatory forum” and will refer the matter to regulators.

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