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Businesses

Disney Raises Prices For Streaming Services By As Much As 27% (cnbc.com) 84

Disney is raising prices on almost all of its streaming offerings as it looks to accelerate profitability for the business. CNBC reports: Commercial-free Disney+ will cost $13.99 per month, a 27% increase, beginning Oct. 12. Disney+ with ads will remain $7.99 per month. Disney will also expand its ad-tier offering to select markets in Europe and in Canada beginning Nov. 1. Disney is increasing the price of Hulu without ads to $17.99 per month, a 20% price hike. Hulu with ads will also stay the same price, at $7.99 per month. The decision to price Disney+ nearly as high as commercial-free Netflix and Max, and charge even more for Hulu, signals Disney believes its content library can compete with both of those services.

Disney is now betting consumers will pay more for its streaming services even as the Hollywood writers and actors strikes threaten its content pipeline in the coming months. For consumers who want both Disney+ and Hulu without commercials, they can pay $19.99 per month in a new "premium duo" offering -- a $12 per month savings. The Disney+ and Hulu bundle with ads will not change from its $9.99 per month price. Disney also increased the price of its bundle of Disney+ (no ads), Hulu (no ads) and ESPN+ (with ads) to $24.99 per month from $19.99 per month. The bundle of all three products with commercials will be $14.99 per month, an increase of $2 per month. Disney is also increasing the price of Hulu + Live TV with ads to $76.99 from $69.99 per month. The commercial-free Hulu + Live TV will jump to $89.99 per month from $82.99 per month.

Movies

Gizmodo Editor-In-Chief Sues Apple Over Tetris Movie (theverge.com) 53

An anonymous reader quotes a report from The Verge: Gizmodo editor-in-chief Daniel Ackerman has sued Apple and other parties over the 2023 Apple TV Plus film Tetris, alleging it rips off his 2016 book The Tetris Effect. Ackerman claims Apple, Tetris rightsholder the Tetris Company, the Tetris film's producers, and screenwriter Noah Pink copied "the exact same feel, tone, approach, and scenes" from The Tetris Effect -- particularly its framing of the game's release as a "Cold War spy thriller." Initially reported by Reuters, Ackerman's lawsuit (PDF) outlines a yearslong correspondence with the Tetris Company as he wrote The Tetris Effect. He claims that the Tetris Company was aware of his work and threatened him with legal action for trying to pursue film and TV adaptations of his own book, only to draw heavily from his framing of the Tetris story. "The film liberally borrowed numerous specific sections and events of the book," claims Ackerman.

Apple and the Tetris Company did not immediately respond to requests for comment from The Verge. But Ackerman's case may be difficult given the fact that Tetris and The Tetris Effect both draw on real historical facts, which are not generally protected by copyright law. As a result, the suit relies heavily on arguing that Tetris copies the feel of The Tetris Effect. (He also argues that some potential inventions of the film -- like a guide who turns out to be a secret KGB agent -- are based on speculations in his narrative.) "Ackerman's book took a unique approach to writing about the real history of Tetris, as it not only applied the historical record, but also layered his own original research and ingenuity to create a compelling narrative non-fiction book in the style of a Cold War spy thriller," the suit says. "Mr. Ackerman's literary masterpiece, unlike other articles and writings, dispelled of the emphasis on the actual gameplay and fans, and instead concentrated on the surrounding narrative, action sequences, and adversarial relationship between the players ... This was the identical approach Defendants adopted for the Tetris Film, without notable material distinction."

Ackerman says that he reached out after the Tetris trailer's release and unsuccessfully requested Apple and the other defendants address legal issues before the film's release. His suit alleges copyright infringement and unfair competition, among other offenses.

Television

TV and Film Extras Are Afraid AI Will Copy Their Faces and Bodies To Take Jobs (theregister.com) 79

An anonymous reader shares a report: Production companies are scanning the faces and bodies of actors and actresses, who fear their likeness will be used to create fake AI doubles for TV shows and films in the future. Some workers spoke to NPR last week about being subjected to the scans, and feeling like they couldn't say no. Alexandria Rubalcaba, who was working as a background actor, described being called into a trailer and asked to stand in front of cameras.

"Have your hands out. Have your hands in. Look this way. Look that way. Let us see your scared face. Let us see your surprised face," she said. What was most concerning, however, was that she didn't know what or how her images were going to be used. "My first thought leaving the trailer was, 'Oh this might just be the future," Lubsey said. "We might just lose our jobs," Dom Lubsey, an actor from Los Angeles, added. Studios already use computational techniques to create synthetic images of people to create fake crowds for backgrounds in films.

It's not too far-fetched to think that extras can also be generated too. Andrew Susskind, an associate professor at Drexel University's film and TV department, explained how AI-made background actors would slash production budgets. "Imagine ballroom scenes, party scenes, any scenes that need tons of extras," Susskind said. "Imagine the amounts of money they would be saving. Not paying $180 a day. Plus meals. Plus costuming," he said.

Businesses

Apple Hits 1 Billion Paid Subscriptions (axios.com) 27

Apple now has more than 1 billion paid subscriptions across all of its services, including Apple Music, iCloud, Apple News, Apple TV+ and more. From a report: Apple has methodically executed a long-term strategy of offsetting slowing hardware sales growth with revenue from software services -- and that now accounts for more than a quarter of the company's sales. Apple's advertising business is expected to reach $6 billion by 2025, which would make it larger than both Snapchat and Twitter's ad business. [...] The quarter also represented Apple's biggest ever for software sales.
Advertising

Walmart Is Bringing Digital Ads To An Aisle Near You 46

According to CNBC, Walmart shoppers "will soon see more third-party ads on screens in Walmart self-checkout lanes and TV aisles; hear spots over the store's radio; and be able to sample items at demo stations." From the report: For Walmart, selling ad space to its wealth of existing partners is another way to capitalize on the company's huge reach and to expand into higher-margin businesses. The discounter has nearly 4,700 stores across the U.S., with roughly 90% of Americans living within 10 miles of a Walmart store. In the U.S., about 139 million customers visit Walmart stores and its website or app each week.

The company plans to ramp up in-store ads using its approximately 170,000 digital screens across its locations as well as 30-second radio spots that will be available to suppliers later this year and can target a specific store or region. And it's hoping at least one of the new advertising initiatives will be easy to digest: free samples in stores on the weekends. It tried out the new in-house approach of selling sampling stations in Dallas-Fort Worth and plans to offer the option in more than 1,000 stores across the country by the end of January.

Advertising still drives a small sliver of Walmart's overall revenue. Its global advertising business hit $2.7 billion in the most recent fiscal year, which ended in late January. That's less than 1% of Walmart's total annual revenue. Yet it is becoming a more meaningful growth engine for Walmart. CEO Doug McMillon said earlier this year that he expects company profits to grow faster than sales over the next five years, driven in part by higher-margin businesses, including advertising. In the most recent fiscal year, Walmart's global ads business grew nearly 30% and its U.S. ads business, Walmart Connect, rose about 40%. That's a sharper gain than the approximately 7% increase in Walmart's total revenue and Walmart U.S. net sales during the period.
Television

Massachusetts Lawmakers Eye a 'Netflix Tax' To Fund Community TV Channels (bostonglobe.com) 103

A proposed state tax in Massachusetts on streaming video services could increase prices for popular platforms like Netflix and Hulu, as the 5 percent fee would support approximately 200 community access cable channels struggling due to declining cable subscriptions. The Boston Globe reports: In July, the Joint Committee on Advanced Information Technology held hearings on legislation filed by Democratic State Representative Joan Meschino and Republican Representative Mathew J. Muratore, both of Plymouth. Their bill would require streaming video companies to pay a 5 percent fee on the gross revenues generated in the state. The estimated $65 million a year raised by the fee would support roughly 200 community access channels, the most in any state. The community channels are run by nonprofit organizations or town governments, and funded by cable TV companies, which are assessed a fee by local governments for the right to run their cables through city property. The cable companies pass the cost on to subscribers.

But subscriptions are plummeting as US consumers abandon pay TV for streaming services. Cable and satellite subscribers now number about 70 million, down more than 25 percent from 95.5 million a decade ago, according to Leichtman Research Group, a New Hampshire research and analysis company specializing in media, entertainment, and broadband industries. "The next three to five years it's really going to dry up even more so," said Muratore. Meschino said citizens can't afford to lose access to community media channels, because so many local newspapers have shut down. "There's literally no other way to consume that sort of hyperlocal programming," Meschino said.

About a dozen US states levy sales taxes on consumers' streaming video bills. But Meschino said that sales tax money goes into each state's general fund. Instead, she wants the streaming fee to be dedicated entirely to support for community media services, just like the fee paid by traditional cable TV companies. Some or all of the fees would likely be passed on to consumers. Gauthier estimates that a typical household's costs could rise about $2.40 a month, spread among several streaming networks. "Maybe it'll be 75 cents for your Amazon," he said. "Maybe it'll be 80 cents for your Disney."

Businesses

Amazon Modifies Ad Revenue, Impressions Share Policy for International Fire TV Apps (streamtvinsider.com) 18

Amazon will soon require international app developers who offer ad-supported streaming video services available to Fire TV users to opt into their in-house ad publishing service or, where unavailable, offer up a cut of their ad revenue. From a report: Starting September 1, Amazon will enforce a new developer policy that requires domestic and foreign streaming services to allocate 30% of their in-country advertising impressions to Amazon. Developers who offer up ad-supported Fire TV apps in the United States and whose apps see 50,000 hours or more usage in a given month will be required to enroll in Amazon Publishing Services (APS). The same applies for ad-supported Fire TV apps developed and distributed outside the United States, except the threshold is lowered to 30,000 hours of use per month.

In countries where APS isn't available, Amazon will require ad-supported streaming video services to provide 30% of their ad revenue to the company, starting September 30. Amazon will contact app developers in those countries to notify them of the requirement, the developer's note said.

Social Networks

Reddit Users Heckle Search for New Mods, as Some Mods Move to Lemmy and Discord (arstechnica.com) 73

"Over the past week, a Reddit employee has posted to subreddits with ousted mods, asking for new volunteers," reports Ars Technica.

But it's not always going smoothly... A Reddit employee going by ModCodeofConduct (Reddit has refused to disclose the real names of admins representing the company on the platform) has posted to numerous subreddits over recent days, including r/IRLEasterEggs, r/donthelpjustfilm, r/ActLikeYouBelong, r/malefashionadvice, and r/AccidentalRenaissance... Like most official Reddit posts since the API war began, the comments under the job ads display users' discontent.

"May I nominate a mod? I think u/ConspirOC would be a great mod, as he created this subreddit and has successfully run it for years, before you forcibly removed him," a user going by LittleManOnACan wrote on ModCodeofConduct's post seeking replacement r/IRLEasterEggs mods. "Additionally, fire Steve Huffman (Fuck u/Spez)."

There's also a desire among Reddit users for a return to not just how things were but an acknowledgment of the efforts made by many previous moderators, how things changed, and why things are different now. A Redditor going by QuicklyThisWay wrote on ModCodeofConduct's post for news mods for r/IRLEasterEggs:

"Just to be clear for anyone 'applying' to be a moderator. The user that created the subreddit and any other mods were removed by admins for making the community private. Even though the option to change to private is available to all subreddits at any time, the admins have not and will not respect any 'autonomy' moderators appear to have...

As Ars has previously detailed, user protests didn't prevent third-party Reddit apps from closing. However, they have disrupted the platform.

Reddit didn't answer questions Ars sent about its replacement mod criteria or how it'll help ensure new mods can properly handle their newfound volunteer duties...

"mods Ars has spoken with over the weeks have frequently pointed to the potential for burnout, death threats, long training sessions (from other volunteer mods), and rapid turnover for Reddit mods..." the article notes, adding "Without mods proven to be dedicated and experienced, it's unclear how fervently such efforts will continue in the future...

"Disgruntled mods and ex-mods continue seeking new platforms to continue community discussions, including Lemmy and Discord. And as of this writing, there are still 1,900 subreddits private, per the Reddark_247 tracker."

Meanwhile, the third annual edition of Reddit's annual pixel-placing event r/Place "turned into a battleground for dunking on the CEO," reports Polygon. A Reddit spokesperson declined to comment about this year's edition of r/Place, telling Polygon via email "redditors are going to reddit."
Gizmodo's article includes a timelapse video (from YouTube) that they say captures "the whimsy — and anger — of its users," including "plenty of protest art directed at CEO Steve Huffman, who goes by u/spez on the platform..." While there are plenty of examples of "Fuck Spez" to go around, the most creative moment occurred at the end of the project. As r/Place wound to a close, users were able to place a pixel once every thirty seconds, but the pixel had to be white — an effort to wipe the slate clean. However, in the final moments of the project, users collaborated to leave one massive "FUCK SPEZ" across the canvas.
AI

Netflix Lists $900,000 Job Seeking AI To 'Create Great Content' 73

An anonymous reader shares a report: As Hollywood executives insist it is "just not realistic" to pay actors -- 87 percent of whom earn less than $26,000 -- more, they are spending lavishly on AI programs. While entertainment firms like Disney have declined to go into specifics about the nature of their investments in artificial intelligence, job postings and financial disclosures reviewed by The Intercept reveal new details about the extent of these companies' embrace of the technology. In one case, Netflix is offering as much as $900,000 for a single AI product manager.

[...] Netflix's posting for a $900,000-a-year AI product manager job makes clear that the AI goes beyond just the algorithms that determine what shows are recommended to users. The listing points to AI's uses for content creation: "Artificial Intelligence is powering innovation in all areas of the business," including by helping them to "create great content." Netflix's AI product manager posting alludes to a sprawling effort by the business to embrace AI, referring to its "Machine Learning Platform" involving AI specialists "across Netflix."

A research section on Netflix's website describes its machine learning platform, noting that while it was historically used for things like recommendations, it is now being applied to content creation. "Historically, personalization has been the most well-known area, where machine learning powers our recommendation algorithms. We're also using machine learning to help shape our catalog of movies and TV shows by learning characteristics that make content successful. We use it to optimize the production of original movies and TV shows in Netflix's rapidly growing studio."
Movies

Comic-Con 2023 Premiers Trailers, a Climate Graphic Novel, and a Musical 'Star Trek' Episode (avclub.com) 33

For a taste of Comic-Con, one San Diego newspaper is sharing photos of the 30 buildings in San Diego that had their exteriors covered this week with promotional "building wraps" for "the latest TV shows, movies and even a National Geographic special."

Some of the stranger announcements this year:
  • Star Trek: the Next Generation star Jonathan Frakes has directed a Star Trek: Lower Decks episode in which the animated characters crossover into the live-action world of Star Trek: Strange New Worlds.

And the A.V. Club offers a slideshow with its choices for this year's hottest trailers. Some of the highlights:


Television

Voice Actors Warn AI Could 'Steal Voices', Call for Laws Protecting a Person's Likeness (ew.com) 111

Something unexpected happened at this year's Comic-Con, reports Entertainment Weekly: As film and TV actors skipped San Diego Comic-Con in support of the SAG-AFTRA strike, a number of voice actors gathered to show their support — and raise awareness about the threat of artificial intelligence on their industry.

The National Association of Voice Actors hosted a panel Saturday morning, where multiple actors and SAG officials spoke to a packed room about how rapidly changing AI technology can threaten both fans and creators... The panelists took a deep dive into the many different forms of AI, particularly in its use in voice work — from original voices like Apple's Siri to synthetic voices copying live actors. All cautioned that AI inherently is not a bad tool and can in some ways enhance voice performances, but fans and actors should push back against exploitative methods.

"Voice acting is the tip of the spear of how AI can either be used to lift people up and enhance the opportunities that actors have — or be used in a negative way to steal their voices and crush human creativity," SAG-AFTRA executive director Duncan Crabtree-Ireland told the crowd. "We need to be very vigilant about that. AI isn't implementing itself. People are choosing to implement AI. So, we've got to reject the idea that this is something that is going to happen to us, and there's nothing to be done about that. That is an absolute myth that is being foisted upon us by the people who want us to think we have no power."

Ultimately, the panelists explained, it all comes down to consent. Currently, there are no federal or international laws protecting a person's likeness, and many existing contracts allow a company to capture an actor's voice or likeness and use it "in perpetuity." NAVA and SAG-AFTRA are calling upon voice actors and fans alike to push back, both by establishing protective contract language and by pushing for global laws.

In addition, the site also reports that "Actors, cosplayers, and a congressman hit the streets of San Diego during Comic-Con 2023 on Friday to show their support for the ongoing SAG-AFTRA strike."
AI

California City Tests AI Cameras On Buses for Parking Tickets (ktla.com) 86

Los Angeles TV station KTLA reports: It's an issue for cities across America: cars parked in bus lanes when they shouldn't be. Now, new AI camera technology is letting the buses themselves write tickets instantly.

Santa Monica recently tested the technology with their Big Blue Bus Line. Last year, they provided 7.7 million trips, but not all were on schedule due to cars improperly parked or stopped in dedicated bus lanes. "The question becomes how do we and other cities keep vehicles that should not be in the transit lane out of the lane," said Robert McCall, who oversees Community Engagement for the City of Santa Monica.

Santa Monica is among a growing number of cities exploring the use of AI cameras that can spot violations and issue tickets instantly. As buses drive their routes, special cameras capture the license plates of cars that shouldn't be parked or stopped where they are... Already, their cameras are installed in buses in New York City and soon, Washington, DC...

During Santa Monica's 45-day pilot, the system identified more than 500 potential violations. Each fine is nearly $300 dollars... Santa Monica still hasn't decided if they'll actually implement this technology, but it paves the way for a bigger trend in the future where AI will write tickets automatically when people break the rules.

"Although this might seem like a good way to keep people out of the bus lanes, it seems to me another encroachment on privacy and use of technology in ways that could harm more than help without oversight," writes long-time Slashdot reader neoRUR.

"Also what is the role of traffic police when it's all done automatically?"
Movies

Disney CEO Bob Iger: Marvel Diluted Audience's Focus and Attention by Making So Many Disney+ TV Shows (variety.com) 310

Disney CEO Bob Iger is citing the studio's output increase for Disney+ as one reason for "some disappointments" as of late. From a report: Speaking to CNBC's David Faber at the Sun Valley Conference, Iger admitted the studio screwed with audience expectations by offering up so much streaming content. The negative impact of that has been commercial disappointments in theaters, be it "Ant-Man and the Wasp: Quantumania" not even reaching $500 million worldwide or disappointing openings for summer tentpoles "Elemental" and "Indiana Jones and the Dial of Destiny."

"There have been some disappointments. We would have liked some of our more recent releases to perform better," Iger said. "It's reflective not as a problem from a personnel perspective, but I think in our zeal to basically grow our content significantly to serve mostly our streaming offerings, we ended up taxing our people way beyond -- in terms of their time and their focus -- way beyond where they had been. Marvel's a great example of that. They had not been in the TV business at any significant level. Not only did they increase their movie output, but they ended up making a number of television series, and frankly, it diluted focus and attention. That is, I think, more of the cause than anything."

Transportation

Teenager Denied Flight Boarding for 'Skiplagging', the Money-Saving Lifehack Airlines Hate (ktla.com) 338

"Logan Parson's first flight by himself ended with airport officials taking the teenager into custody and whisking him away into an interrogation room," reports the Independent. The teen was "denied boarding to an American Airlines flight," reports the Washington Post. "He hadn't committed a crime, nor was he accused of being unruly.

"His offense? Attempting to make use of a money-saving hack that gutsy fliers use every year." Direct flights to major cities are so expensive, it can actually be cheaper to book a flight with stops in two cities — and then skip the flight to that second city. The Post points out that while passengers can save money with this so-called "hidden-city ticket" trick — or skiplagging — "most carriers regard it as a form of fraud."

From North Carolina TV station WJZY: In a statement to WJZY, American Airlines said, "Purchasing a ticket without intending to fly all flights to gain lower fares (hidden city ticketing) is a violation of American Airlines terms and conditions and is outlined in our Conditions of Carriage online...." Other major airlines, like Delta and United, also prohibit hidden city ticketing. Even [skip-lagging resource] Skip Lagged warns there may be consequences of hidden city ticketing, like your checked luggage moving on to the final destination instead of where you stop or losing frequent flyer miles you've accrued.
The Arizona Republic adds: According to American and Southwest's contracts of carriage, they can cancel any unused part of a ticket, refuse to let the passenger and their bags fly, not issue a refund and charge the customer for what the ticket would have cost for the full route. Airlines may ban a passenger from flying with them in the future.

Some airlines have challenged the practice in court but without success. In November 2014, United Airlines sued Skiplagged.com and its founder in court, claiming trademark infringement, according to court documents. A judge dismissed the suit the following year.

The Washington Post shares another warning: Chris Dong, a Los Angeles-based travel writer and points expert who used to skiplag, says you especially can't do this on a round-trip flight. "Airlines will cancel your return flight if you're a 'no show' for any segment of a booked itinerary," Dong said in an email.
While the teen's father told WJZY that his son was "interrogated a little bit" before being "taken to a security room," American Airline says their records don't show that the teen was taken to a security room. Instead, they've told the Post that "Our records indicate the customer was questioned only at the ticket counter about their travel, while attempting to check-in for their flight." The fact that the teen was denied boarding underscores how serious airlines take skiplagging. It makes sense, since the practice saps revenue from them on two fronts: Not only do passengers underpay — potentially by hundreds of dollars per ticket — but the seat on the tossed leg could have been sold to someone else. Most contracts of carriage from major airlines expressly forbid skiplagging as a result.
The Post also got this quote from Clint Henderson, an industry expert and managing editor for the Points Guy. "The airlines are getting increasingly sophisticated and smart about it. I expect that will get even more prevalent as technology improves further."
Television

Telly Starts Shipping Free, Ad-Supported 4K TVs 91

Telly's free 55-inch 4K dual-screen TV sets are set to arrive at users' homes this week -- but of course, there's a catch. From a report: The start-up, which plans to ship some 500,000 free, ad-supported TVs in 2023 in the U.S., is calling the initial wave a "public beta program." The company says the new Telly households represent a diverse cross-section of the U.S. population, although the initial user base overindexes on education level and household income -- and also skews toward Gen Zers and millennials. According to Telly, more than 250,000 people have signed up to receive a free TV set, which displays an always-on, rotating ad unit on a 9-inch-high second screen situated below the main 55-inch one. Each unit also includes a free Chromecast with Google TV adapter. The bulk of the half-million TVs will go out in the fourth quarter of 2023, Telly chief strategy officer Dallas Lawrence said: "We think there's no better Black Friday deal than free."

To receive the free TV, Telly users must submit detailed demographic info (such as age, gender and address), as well as purchasing behaviors, brand preferences and viewing habits, and they must agree to let their data be used for serving targeted ads. Telly's TVs include a sensor that detects how many people are in front of the screen at any given moment. So what's the catch? Telly users must agree to several conditions under the company's terms of service. If someone doesn't abide by the TOS, Telly reserves the right to demand the TV be shipped back -- otherwise, it will charge up to $1,000 to the credit card associated with a given account.
Also read: Telly, the 'Free' Smart TV With Ads, Has Privacy Policy Red Flags.
The Almighty Buck

Disney, Netflix, and More Are Fighting FTC's 'Click To Cancel' Proposal (businessinsider.com) 195

Disney, Netflix, and other media and entertainment giants are pushing back against the FTC's "click to cancel" proposal (Warning: source paywalled; alternative source) that would make it easier for people to cancel streaming, gaming, and other services. Insider reports: Companies of all stripes have angered consumers by making services all too easy to sign up for but often confoundingly difficult to cancel, with gyms and news outlets considered among the worst offenders. The FTC has gone after individual companies; it recently sued Amazon, alleging the etailer "tricked" people into signing up for Amazon Prime. That followed the FTC's proposal in March for a regulation that's intended "to make it as easy for consumers to cancel their enrollment as it was to sign up." The policy would cover providers of both digital and physical subscriptions, from streamers and gym memberships to phone companies and cable TV distributors. The new rule would require companies to offer a simple mechanism for users to cancel subscriptions the same way they signed up. For example, you wouldn't have to cancel a service in person or over the phone if you signed up for it online. "I can't tell you how much time I've spent trying to cancel subscriptions I never wanted, let alone the cost!" one person wrote in a comment to the FTC.

The Internet & Television Association, which counts Disney, Paramount, and Warner Bros. Discovery as members, said in its public comment that the proposed reg is so vague, it would lead marketers to be excessive in their disclosures, leaving consumers "inundated" and "confused." The reg would even infringe on its members' freedom of speech, the association argued. "The proposal would also severely curtail or, in some cases, even prohibit companies from communicating with their customers, in violation of the First Amendment," the association wrote. Sirius XM wrote in its comments that one proposed requirement -- that companies maintain records of phone calls with customers -- would cost the company "several million" dollars a year to comply with. The Entertainment Software Association, the video gaming trade organization, noted that the FTC's proposed disclosure requirements "would interfere with game play and customer enjoyment." The ESA wrote that "most consumers understand autorenewal offers and are knowing and willing participants in the marketplace" and that letting customers cancel immediately would prevent member companies from offering them alternative plans or discounts. The ESA was joined in its comments by the Digital Media Association and Motion Picture Association, whose members include Netflix, Sony Pictures Entertainment, and Universal Pictures. The FTC will examine the feedback it's received through public comment before considering a final rule.

Media

TikTok Videos Are Coming To 3,000 Redbox Kiosks (deadline.com) 20

Chicken Soup for the Soul Entertainment, the parent company of Redbox, has partnered with TikTok to stream the platform's short-form videos on screens atop approximately 3,000 Redbox kiosks across the United States. Deadline reports: Third-party brands will also have their ads run alongside the TikTok videos via Chicken Soup's ad platform Crackle Connex. The agreement covers roughly 10% of the total network of Redbox kiosks, which are generally located outside of grocery, convenience and big box retail stores. The out-of-home ad deal is part of a growing effort across the industry to identify alternatives to linear TV and place brand messages in venues like gas stations, elevators and other locations. "TikTok is the go-to destination for short-form video consumption by over a billion people globally," said Philippe Guelton, chief revenue officer of Crackle Connex. "This new partnership provides advertisers a unique opportunity to reach new audiences and drive engagement. Our Redbox kiosks are in high-traffic locations where millions of people frequently shop, such as grocery stores or value retailers. We look forward to working with TikTok on expanding this partnership as our DOOH network expands."
Anime

Hulu Launches Adult Animation, Anime Hub Animayhem (variety.com) 24

According to Variety, Hulu is launching a new sub-brand focused on adult animation and anime called Animayhem. From the report: The new hub is meant to capitalize on Hulu's already popular lineup of adult animation and anime shows. Series like "American Dad," "Bob's Burgers," "Family Guy," "Futurama" and "King of the Hill" consistently rank among the service's top 10 shows based on hours streamed, per Hulu. So far this year, over one billion hours of adult animation content has been streamed on Hulu, along with over 288 million hours of anime content, the streamer claims.

Hulu currently has 46 adult animated series, which adds up to 174 seasons and 2,600 episodes. For anime, Hulu has 17 films and 272 series, adding up to 435 seasons and 18,400 episodes (including subtitled and English dubbed versions of episodes). As part of the launch, Hulu is debuting a range of ads for Animayhem, which they describe as the "Animation Destination," one of which can be seen below.
"When you have the number one offering in adult animation and anime of any major streaming service, creating this destination is obvious. We know exactly where we can meet these fans, because they're already here," said Barrie Gruner, Hulu's executive vice president of marketing and publicity, in an interview with Variety.

"I would say that this brand really cements Hulu as the ultimate streaming destination for animation and we're not going to achieve that with single title campaigns," Gruner said. "This is truly an intersection with our original programming and our library."

Animayhem will also be coming to San Diego Comic-Con via an immersive experience dubbed "Hulu Animayhem: Into the Second Dimension."
The Almighty Buck

FTX's Celebrity Endorser Tom Brady Faces Worthless Stock, Lawsuits (yahoo.com) 83

As an "ambassador" for FTX, football quarterback Tom Brady appeared at the company's conference in the Bahamas, and in TV commercials promoting the exchange as "the most trusted" institution in crypto, remembers the New York Times. And it was all about to go very bad...

"His money was also at stake. As part of an endorsement agreement Brady signed in 2021, FTX had paid him $30 million, a deal that consisted almost entirely of FTX stock, three people with knowledge of the contract said. Brady's wife at the time, supermodel Gisele Bündchen, was paid $18 million in FTX stock, one of the people said." Now FTX is bankrupt, and Bankman-Fried is facing criminal fraud charges. Brady, 45, and Bündchen, 42, have been sued by a group of FTX customers seeking compensation from the celebrities who endorsed the exchange. On top of it all, the terms of the deal would have required the former couple, who divorced last year, to pay taxes on at least some of their now worthless FTX stock, two people familiar with the endorsement deal said. Their situation is the highest-profile example of a humiliating reckoning facing the actors, athletes, and other celebrities who rushed to embrace the easy money and online hype of cryptocurrencies...

But last year's crash ended the celebrity crypto bonanza. In October, the Securities and Exchange Commission ordered Kim Kardashian to pay $1.26 million for failing to make adequate disclosures when she endorsed the EthereumMax crypto token. In December, a lawyer in California sued two crypto companies, MoonPay and Yuga Labs, accusing them of using a "vast network of A-list musicians, athletes and celebrity clients" to mislead investors about digital assets. In March, the S.E.C. charged the actress Lindsay Lohan, the online influencer Jake Paul and musicians including Soulja Boy and Lil Yachty with illegally promoting crypto assets. And in late May, after months of failed attempts, a process server delivered court papers to Shaquille O'Neal, the retired basketball star, who was sued for promoting FTX, according to legal filings. Mr. O'Neal was served while broadcasting from a National Basketball Association playoff game...

Brady has also faced legal trouble. In December, Adam Moskowitz and the law firm Boies Schiller Flexner filed a lawsuit in federal court in Florida accusing him and Bündchen of misleading investors. Among the other defendants are comedian Larry David, NBA star Steph Curry and tennis player Naomi Osaka, all of whom endorsed FTX. "None of these defendants performed any due diligence prior to marketing these FTX products to the public," the lawsuit said.

AI

How An AI-Written 'Star Wars' Story Created Chaos at Gizmodo (msn.com) 91

G/O Media is the owner of top sites like Gizmodo, Kotaku, Quartz, and the Onion. Last month they announced "modest tests" of AI-generated content on their sites — and it didn't go over well within the company, reports the Washington Post.

Soon the Deputy Editor of Gizmodo's science fiction section io9 was flagging 18 "concerns, corrections and comments" about an AI-generated story by "Gizmodo Bot" on the chronological order of Star Wars movies and TV shows. "I have never had to deal with this basic level of incompetence with any of the colleagues that I have ever worked with," James Whitbrook told the Post in an interview. "If these AI [chatbots] can't even do something as basic as put a Star Wars movie in order one after the other, I don't think you can trust it to [report] any kind of accurate information." The irony that the turmoil was happening at Gizmodo, a publication dedicated to covering technology, was undeniable... Merrill Brown, the editorial director of G/O Media, wrote that because G/O Media owns several sites that cover technology, it has a responsibility to "do all we can to develop AI initiatives relatively early in the evolution of the technology." "These features aren't replacing work currently being done by writers and editors," Brown said in announcing to staffers that the company would roll out a trial to test "our editorial and technological thinking about use of AI."

"There will be errors, and they'll be corrected as swiftly as possible," he promised... In a Slack message reviewed by The Post, Brown told disgruntled employees Thursday that the company is "eager to thoughtfully gather and act on feedback..." The note drew 16 thumbs down emoji, 11 wastebasket emoji, six clown emoji, two face palm emoji and two poop emoji, according to screenshots of the Slack conversation...

Earlier this week, Lea Goldman, the deputy editorial director at G/O Media, notified employees on Slack that the company had "commenced limited testing" of AI-generated stories on four of its sites, including A.V. Club, Deadspin, Gizmodo and The Takeout, according to messages The Post viewed... Employees quickly messaged back with concern and skepticism. "None of our job descriptions include editing or reviewing AI-produced content," one employee said. "If you wanted an article on the order of the Star Wars movies you ... could've just asked," said another. "AI is a solution looking for a problem," a worker said. "We have talented writers who know what we're doing. So effectively all you're doing is wasting everyone's time."

The Post spotted four AI-generated stories on the company's sites, including io9, Deadspin, and its food site The Takeout.

At least two of those four stories had to be corrected after publication.

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