States Settle With Google, IHeart Media Over Misleading Ads

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In relation to misleading radio commercials concerning a Google mobile, the Federal Trade Commission and a few states announced settlements with Google and iHeartMedia. According to California Attorney General Rob Bonta, the settlements are a result of charges that Google paid radio personalities to promote and discuss their personal experiences using the Pixel 4, one of the company's smartphones. The phone wasn't available at the time, and many of the radio DJs hadn't used it either, according to Bonta.

According to Bonta's office, the advertisements were aired more than 23,000 times throughout 10 media areas, including Los Angeles and San Francisco. According to Bonta's office, Google will pay $9 million and iHeartMedia will pay $400,000. The largest radio station owner in the country is iHeartMedia. The ads were also broadcasted on a few minor radio stations. In a statement, Bonta claimed that "Google tried to take shortcuts in advertising its products,  and now it’s paying the price." The radio ads were broadcasted in late 2019 and early 2020. "Asking DJs to share personal experiences about a product they had not used is misleading – and a violation of state consumer protection laws."

The settlements included Arizona, Georgia, Illinois, Massachusetts, New York, Texas, and the Federal Trade Commission. California will receive approximately $3 million of the settlement funds. According to a spokeswoman for Bonta, the funds will be divided equally between the state and Alameda County, where the case was brought, and used to enforce consumer protection laws. The deal prohibits Google for 20 years from making misrepresentations while endorsing its products. Additionally, the business will have to inform California regularly of its compliance with the settlement terms. Emails sent to Google and Wendy Goldberg of iHeartMedia requesting comment did not receive a prompt response.