The communications regulator of Australia has launched an inquiry into Disney+. Gambling advertisements appeared during ESPN sports broadcasts streamed through the platform. This practice may exploit a legal loophole in gambling ad restrictions.
Until March, Foxtel and Fetch were the only platforms offering ESPN, and regulators exempted them from daytime gambling ad restrictions due to their low audience share. Yet, the streaming giant claimed it was only simulcasting the ESPN feed of Foxtel and therefore should also be exempt from the restriction after ESPN became available on Disney+.
A Disney+ spokesperson told ABC that advertising on ESPN channels on Pay TV, including on simulcast digital feeds of the channels on Disney+, is a compliant with all applicable regulations and codes. In addition, they have robust parental controls in place on Disney+ to manage viewing preferences.
The regulator has raised doubts about whether this exemption should extend to Disney+. The platform operates in a wider, more accessible streaming environment.
In a statement, the agency said that ACMA is concerned about Disney+’s practices. They are urgently seeking additional information from the company to determine whether its actions align with community expectations, regardless of its interpretation of the rules.
Simulcast streaming services may receive exemptions if they replicate content already licensed for subscription TV under the Broadcasting Services Act. ACMA noted that the exemption aims to avoid applying two sets of rules, not to allow wider exposure to restricted advertising.
A spokesperson for the Australian Subscription Television and Radio Association (ASTRA) said its members take their obligations regarding wagering advertising very seriously. They continually work to ensure compliance with the current regulatory framework.
With policymakers and public health advocates calling for tighter restrictions on wagering ads across all digital platforms, the investigation adds to growing scrutiny over gambling promotion in Australian media.
