• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Exclusive

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

An hour in the Oval Office with President Trump.

TechVideo Games

Machinima settles with FTC over misleading Xbox endorsements

By
Kia Kokalitcheva
Kia Kokalitcheva
Down Arrow Button Icon
By
Kia Kokalitcheva
Kia Kokalitcheva
Down Arrow Button Icon
September 2, 2015, 2:53 PM ET
Visitors experience the Xbox One game during the China Joy event on July 31, 2014 in Shanghai, China.
Visitors experience the Xbox One game during the China Joy event on July 31, 2014 in Shanghai, China.Photograph by ChinaFotoPress via Getty Images

The Federal Trade Commission is no fan of companies parading paid sponsorships as organic endorsements, as gaming video network Machinima recently discovered.

The company has settled charges by the FTC that it paid YouTube “influencers” — people with substantial fan bases — to post videos promoting Microsoft’s (MSFT) Xbox One gaming console and several games without disclosing they were paid endorsements, according to a statement on Wednesday.

Machinima owns and operates multiple YouTube video channels that employ personalities who star in scripted and unscripted content about video games. In 2013, Microsoft hired Starcom MediaVest Group to run an advertising campaign for its new console, the Xbox One, and three games. Machinima was hired by the agency to produce videos promoting the console and games, guaranteeing they would be viewed at least 19 million times. According to the FTC, Machinima didn’t make it clear that they were paid endorsements and misled viewers.

This wasn’t Machinima’s only trouble in 2013. Some of its content creators complained that its “life-long” contracts were predatory, and it got into hot water for working with “reply girls” who win clicks by posting seductive videos online. The company eventually renegotiated its contracts and ended its deal with a prominent reply girl.

As part of the settlement agreement, Machinima is prohibited from taking part in marketing campaigns without clearly labeling paid endorsements. The company is also barred from compensating any influencers who don’t disclose they’re being paid for promoting a brand, and to follow up after 90 days of any campaign to make sure they do disclose the information.

Last month, mega-celebrity Kim Kardashian also got into trouble for her own endorsement of a morning sickness medication. The FDA complained to the drug maker of Kardashian’s failure to mention any health risk in an Instagram photo. Her tweets about the same product also failed to mention her business relationship with the company, potentially violating the same policy as Machinima.

About the Author
By Kia Kokalitcheva
See full bioRight Arrow Button Icon

Latest in Tech

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Tech

haidt
AIGen Z
A record number of 18-year-olds are set to graduate into an economy designed against them
By Nick LichtenbergMay 18, 2026
1 minute ago
A panel on Gen Z workers sit alongside Fortune's Kristin Stoller at the Fortune Workplace Innovation Summit.
NewslettersFortune Workplace Innovation
AI in the workplace is stumbling. Fortune’s Workplace Innovation Summit will dive in to why
By Kristin StollerMay 18, 2026
57 minutes ago
charlie
CommentarySoftware
Anaplan CEO: AI isn’t eating software. It’s sorting it
By Charlie GottdienerMay 18, 2026
2 hours ago
Carl Fritjofsson smiles in a blue t-shirt
Startups & VentureTerm Sheet
The AI boom is pulling Europe’s hottest startups to the U.S.—whether they planned to move or not
By Lily Mae LazarusMay 18, 2026
3 hours ago
SpaceX COO Gwynne Shotwell in Barcelona, Spain on March 2, 2026. (Photo: Angel Garcia/Bloomberg/Getty Images)
NewslettersFortune Tech
What to expect from a SpaceX IPO
By Andrew NuscaMay 18, 2026
4 hours ago
How a mom-and-pop car wash chain went from sticky notes to AI-powered operations that are upleveling every part of the company
AIAutomation
How a mom-and-pop car wash chain went from sticky notes to AI-powered operations that are upleveling every part of the company
By Sage LazzaroMay 18, 2026
5 hours ago

Most Popular

Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI
AI
Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI
By Jake AngeloMay 16, 2026
2 days ago
The top foreign holders of U.S. debt may soon dump Treasury bonds and bring their money back home, potentially spiking borrowing costs
Economy
The top foreign holders of U.S. debt may soon dump Treasury bonds and bring their money back home, potentially spiking borrowing costs
By Jason MaMay 17, 2026
20 hours ago
The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises
Politics
The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises
By Jake AngeloMay 12, 2026
6 days ago
'No one was coming to save me': How Reese Witherspoon built a $900 million company from a problem Hollywood wouldn't fix
Success
'No one was coming to save me': How Reese Witherspoon built a $900 million company from a problem Hollywood wouldn't fix
By Sydney LakeMay 17, 2026
1 day ago
SpaceX heads into a record-shattering IPO with the 'deepest moat that exists today' as investors vow to 'never bet against Elon'
Innovation
SpaceX heads into a record-shattering IPO with the 'deepest moat that exists today' as investors vow to 'never bet against Elon'
By Jason MaMay 16, 2026
2 days ago
Former top Russian official admits the country is over Putin and can 'imagine a future without him' — even elites bail as Kremlin seizes their assets 
Politics
Former top Russian official admits the country is over Putin and can 'imagine a future without him' — even elites bail as Kremlin seizes their assets 
By Jason MaMay 16, 2026
2 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.