Login
close
Login is restricted to DCN Publisher Members. If you are a DCN Member and don't have an account, register here.
Search

Digital Content Next logo

Menu

Articles by: "Rande Price, Research VP – DCN"

Industry-Research

Not disclosing AI-generated content negatively impacts trust


Artificial intelligence (AI) is generating a new era of content creation. However, with this innovation comes the challenge of distinguishing AI-generated content from human-made material. This creates another issue media companies must grapple with to build and maintain audience trust.

Mozilla’s latest report, In Transparency We Trust?, delves into the transformative impact of AI-generated content and its challenges. Ramak Molavi Vasse’I and Gabriel Udoh co-authored this research, exploring disclosure approaches in practice across many platforms and services. The report also raises concerns about AI-generated content and social media’s powerful reach ― intensifying the spread of algorithmic preferences and emotionally charged material.

Where generative AI falls on the synthetic content spectrum

AI-generated content is a subset of synthetic content. It includes images, videos, sounds, or any other form generated, edited, or enabled by artificial intelligence. Synthetic content exists on a spectrum with varying degrees of artificiality. One end of the spectrum features raw content, comprising hand-drawn illustrations, unaltered photographs, and human-written texts. These elements are untouched, representing the most natural form of creative expression. Moving along the spectrum is minimally edited content. Subtle refinements characterize this stage, like using Grammarly for text refinement or adjusting image contrast with photo editing apps. These adjustments enhance the quality and clarity of the content while maintaining its original essence.

Stepping up from minimally processed content is ultra-processed, where automated methods and software play a more significant role in altering or enhancing human-generated material. Applications like Adobe Photoshop can easily enable intricate image manipulations, such as replacing one person’s face with another’s. This level of processing represents a deeper form of content alteration facilitated by advanced technology.The spectrum of synthetic content presents authenticity challenges, and the credibility of digital content comes into question.

AI-generated content can potentially negatively impact society, from spreading misinformation to eroding public trust in digital platforms. This includes concerns like identity theft, security problems, privacy breaches, and the risk of cheating and fraud. The growing use of AI-generated content mandates the the need for rules to limit its harm.

Regulatory mechanisms

Mozilla’s report notes that regulatory requirements across the globe mandate clearly identifying and labeling AI-generated content. Current approaches include visible labels and audible warnings to address the challenges of undisclosed synthetic content effectively. However, human-facing disclosure methods are only partially effective due to their vulnerability to manipulation and the potential to increase public mistrust.

Machine-readable methods, such as invisible watermarking, offer relative security. However, they require robust detection mechanisms to be truly effective. Machine-readable methods show promise but require standardized, robust watermarking techniques and unbiased detection systems.

The authors advocate for a holistic approach to governance that combines technological, regulatory, and educational measures. This includes prioritizing machine-readable methods, investing in “slow AI” solutions that embed corporate social responsibility, and balancing transparency with privacy concerns. Furthermore, they propose reimagining regulatory sandboxes as spaces for testing and refining AI governance strategies in collaboration with citizens and communities.

Ensuring the authenticity and safety of digital content in the age of AI demands innovation in governance strategies is a complex challenge. As the report points out, navigating the AI content challenge requires supporting a trustworthy digital ecosystem by leveraging machine-readable methods, fostering stakeholder collaboration and user education.

Transparent governance is essential to combat the risks associated with AI-generated content and uphold the integrity of digital platforms. Regulatory frameworks and technological solutions must adapt to safeguard against misinformation in order to promote trust in digital media content.

Industry-Research | Policy

Unchecked AI threatens democracy

Artificial intelligence (AI) is rapidly integrating into news and content, prompting a necessary reflection on its implications for democratic societies, which rely on trustworthy and diverse media sources. A new report, Artificial intelligence and media policy: Plurality from the meat grinder, from Professor Dr. Rupprecht Podszun, Heinrich Heine University, and Ruth Meyer, Director of the Saarland State Media Authority (LMS), delves into the potential risks AI poses as it is applied in the media industry as well as the need for regulation to govern its usage.

Guardrails for AI

Podszun and Meyer identify three areas needing guidelines and policies to uphold democracies:

  1. Trust in information is about ensuring that the information people receive is accurate and reliable, whether it’s news or other content. Laws like the Saarland Media Act stress the importance of journalists being careful and accurate when reporting. However, when artificial intelligence involves creating content, it can be hard to know if the information is trustworthy because the processes behind AI are often hidden. This lack of transparency can make people doubt the reliability of AI-generated content.
  2. Public discourse refers to the conversations and discussions in society, especially around important issues. With the rise of AI-powered recommendation systems, people often get information that aligns with their beliefs and interests. This can create “bubbles” where people only hear opinions like their own, leading to societal divisions. The idea of the public sphere, where people from different backgrounds come together to discuss and solve problems, is important for democracy. However, social media platforms, which play a big role in public discourse today, can make it harder for diverse opinions to be heard.
  3. Plurality is under pressure despite the many different media sources available today. The reality is that companies like Alphabet (Google’s parent company) and Meta (formerly Facebook) have too much control over the information people see. This concentration of power can limit the variety of perspectives and ideas people are exposed to, especially when AI algorithms are used to personalize content delivery.

A regulatory approach for AI

Regulation will be needed to address concerns and provide guidance for the most constructive development of the AI industry and its applications. This could include laws to prevent monopolistic companies from having too much control over information. Further, there is a need for transparency about how AI is used in creating content. It’s also important to ensure that the data used to train AI systems is diverse and representative of different viewpoints.

The authors provide recommendations for regulatory approaches to ensure diverse and trustworthy access to information. They suggest that:

  • Preventing monopolistic concentration is crucial, given the dominance of big tech companies in both data-driven business models and AI control. Media concentration laws should counteract this trend, promoting diverse data pools and open technology. 
  • Ensuring transparency and responsibility are fundamental. Trust in AI-driven media necessitates transparency regarding its usage, training data, and information sources. 
  • Identifying prohibitions is necessary to enforce accountability. If AI crosses ethical boundaries, explicit bans with sanctions are imperative. 
  • Addressing the training data problem is vital. Guaranteeing open and diverse data selection mitigates distortions in AI-generated content. Embracing adaptable AIs capable of correcting errors ensures ongoing development and integrity.

While AI offers unprecedented opportunities for media innovation, its unchecked proliferation poses significant risks to democratic principles. Effective regulation is imperative to harness the potential of AI in media while safeguarding pluralism, transparency, and trust in information dissemination. Only through collaborative efforts between policymakers, media stakeholders, and technologists can the transformative potential of AI be harnessed responsibly in the service of democratic societies.

Industry-Research | Video

YouTube dominates social platform usage

Public platforms, including social media, offer a forum for open for communication, citizen journalism, and audience engagement. However, these platforms also pose many challenges including misinformation, privacy concerns, and algorithmic biases. For better or worse, the largely ungoverned content available shapes public discourse and impacts societal perceptions. These days, the field of social media platforms continues to expand with TikTok experiencing a high level of growth. However, stalwarts YouTube and Facebook lead the pack in overall usage.

Pew Institute’s new research, Americans’ Social Media Use, delves into U.S. adults’ social media usage patterns, offering insight into how individuals engage with various social media platforms. With a robust sample size of 5,733 respondents, this study shows that social media continues to play a central role in shaping communication dynamics and societal interactions.

Ranking social media platforms

Among all of the social platforms today, YouTube emerges as the undisputed leader, with an overwhelming 83% of U.S. adults saying that they use the platform. Following closely behind is Facebook, 68% of adult usage, and Instagram, 47% of adult usage.

While YouTube and Facebook maintain their dominance, other platforms command significant user bases. Approximately 27% to 35% of U.S. adults use platforms like Pinterest, TikTok, LinkedIn, WhatsApp, and Snapchat. X (formerly known as Twitter) and Reddit attract approximately one-fifth of American adults.

A notable finding from the survey is TikTok’s growth, which saw a surge in its user base. Currently, one-third (33%) of U.S. adults use this video-based platform, a significant increase from 21% in 2021. In contrast, other platforms experienced more modest or stagnant growth over the same period.

Demographic differences among social platforms

Age demographics play a crucial role in shaping social media usage patterns. Adults under 30 exhibit higher usage rates across Instagram, Snapchat, and TikTok. However, YouTube and Facebook remain ubiquitous across all age groups, with most adults using these platforms. While there’s a substantial age gap in YouTube usage, interestingly, Facebook’s usage is more evenly distributed across age cohorts.

Pew’s analysis shows demographic differences in platform usage. For instance, Instagram attracts higher usage rates among Hispanic and Asian adults than Black and white adults. Similarly, TikTok usage is particularly prevalent among Hispanic adults and women. Similarly, race and ethnicity play a role in WhatsApp usage, with Hispanic and Asian adults more likely to use the platform compared to their Black and white counterparts.

Educational attainment also influences platform usage, with individuals with higher levels of education more likely to use platforms like LinkedIn. Meanwhile, household income is a significant factor for platforms like X, formerly known as Twitter, where higher-income users exhibit greater engagement.

Gender disparities are evident in platforms like Pinterest, where women constitute a significantly larger proportion of users than men,

It’s important to note that the Pew Research Center transitioned from collecting responses via telephone to web and mail surveys. This shift can impact study outcomes, so monitoring these trends moving forward is important.

Social media rules

Overall, the Pew Institute’s research underscores the undeniable influence of social media in shaping modern communication and societal interactions in the United States. Despite ongoing controversies and concerns, social media platforms play a central role in shaping communication, connectivity, and societal dynamics.

Importantly, demographic differences further highlight the nuanced social media usage patterns, with age, race, ethnicity, education, income, and gender playing significant roles in platform preferences. These insights provide a deeper understanding of how individuals from diverse backgrounds engage with various social media platforms.

While acknowledging the ongoing challenges such as misinformation, privacy concerns, and algorithmic biases, it’s clear that social media platforms continue to serve as vital conduits for communication, connectivity, and community engagement. The transition in survey methodology underscores the importance of continually monitoring and adapting to evolving trends in social media usage.

Industry-Research | Video

What audiences of all ages like about “non-premium” video

Viewership habits are changing in the video entertainment and news landscape, presenting challenges and opportunities for today’s media content companies. Hub Entertainment’s annual Video Redefined study delves into this growing alternative video content consumption ecosystem. The research explores the rise of YouTube influencers, TikTok, podcasts, and the impact of gaming on the streaming video industry. Hub’s study finds a significant change in consumer preference towards “non-premium” online content sources like YouTube and TikTok. Hub attributes this shift to increased smartphone usage and expanding content on these social platforms.

Aware of these shifts, some media companies, like Paramount, Disney, Max, and others, are experimenting with releasing exclusive content on social platforms. Paramount released Mean Girls on TikTok in 23 parts, and Disney created a content hub dedicated to their company’s 100th anniversary.

Broader appeal of non-premium content

TikTok emerges as a significant player in short, quick, and trend-centric content, appealing to all age groups and excelling in providing vast amounts of video content. The study reveals that while TikTok is now on par with Instagram in popularity among young viewers, YouTube remains the unrivaled leader.

Gen Z’s affinity for non-premium videos, such as short-form, user-generated, and influencer content, is evident, with nearly two hours daily of consumption. The study highlights a surprising increase in non-premium video consumption among older viewers (35+), with a two-hour-per-week rise compared to the previous year. Hub Entertainment notes that their interest in staying updated on news and current events is primarily attributed to the surge.

Smartphone video viewing

While social media is popular across all ages, viewership is not uniform. Over 80% of all viewers use YouTube weekly. However, Gen Z stands out for its higher usage of Instagram, TikTok, and Snapchat. The study emphasizes the importance of recognizing the unique benefits offered by each platform. TikTok, for instance, excels in delivering short, trendy videos, while YouTube’s extensive library remains the go-to source for informative content.

As noted earlier, the study underscores the dominance of smartphones as a viewing source, particularly among younger audiences (13-24). Younger viewers spend half as much time on traditional TV as their older counterparts. Their smartphones are the go-to platform for gaming, social media, and non-premium video content. Companies like Netflix are aligning their strategies with this trend, developing games based on popular shows like Squid Game and Wednesday, further blurring the lines between traditional TV and gaming. Gaming IP, too, is gaining traction, with promises of more TV show game adaptations like Fallout on Prime Video.

Media content companies face challenges as younger viewers move away from traditional television and cinema experiences. The dominance of smartphones, the rise of non-premium content, and the changing preferences of different age groups underscore the need for the industry to adapt and explore opportunities presented by these shifts. As media companies chart the future of the video ecosystem, they must embrace innovative strategies to stay relevant and engage with evolving audiences.

Industry-Research

In the UK, local news is community driven

Understanding how audiences engage with local news is crucial in the ever-evolving media consumption landscape. Research indicates a strong link between local news consumption and community attachment, fostering a sense of belonging. So, it’s not surprising that nearly all of the adults in the United Kingdom engage with local media (92%) according to the Local Media Survey, conducted by Yonder. Notably, most adults seeking local information look for local weather (70%) closely following local news and current affairs, 65% each.

Yonder’s research explores the types of local news and information consumed, the platforms utilized, and the sources trusted by the public. They found that online sources dominate the local media landscape (89%). Social media, messaging apps, and websites emerge as the go-to platforms, with local groups on social media leading the pack at 38%. BBC regional news bulletins on TV and the BBC website or app also boast significant shares at 35% each.

Local news sources

Local news plays a vital role in community integration because it is through local media that people learn about the world around them. Local groups on social media are the most popular sources of information, signaling a societal shift towards community-driven sharing. News aggregators find favor among younger demographics, while email newsletters and hyperlocal messaging apps appeal to an older audience.

Online services lead in traffic and travel information, while online sources dominate local events and government information. The BBC is the most utilized source for local news and information in the UK. Regional news bulletins on both BBC and other services, such as ITV or STV, claim significant viewership on television. Commercial radio stations, including Heart and Capital, cater to younger audiences, while local newspapers, both free and paid, are popular across all age groups.

Geographic and demographic differences

Interestingly, the survey identified a divergence in platform preferences across geographical areas. While TV remains the dominant medium for receiving news at the national and county levels, social media takes precedence at the city, town, neighborhood, and street levels.

Further, the survey illuminates regional variations in media consumption. Scotland, Wales, and Northern Ireland exhibit unique preferences, with regional political programs gaining prominence. Additionally, consumers of Scotland, Wales, and Northern Ireland favor paid newspapers as their primary local news and media sources. Whereas in England, free magazines enjoy greater popularity compared to other nations.

Delving into demographic nuances, social media, TV, and word of mouth are the primary platforms, with a noticeable generational divide. Younger individuals (16–34-year-olds) lean heavily on online sources, while the 65+ demographic prefers TV, radio, and print.

The Local Media Survey provides an understanding of how UK adults interact with local media, shedding light on preferences, platforms, and sources. Examining specific sources confirms a societal shift towards community-driven information sharing, with local social media groups taking the lead.

Demographic variations showcase preferences, with younger favoring online sources and the 65+ demographic relying on traditional mediums. As media landscapes evolve, these insights serve as a valuable compass for media organizations to navigate the ever-changing channels of news information consumption.

Diversity, Equity & Inclusion | Industry-Research

Newsroom diversity fails to keep pace with the population

Building a diverse newsroom and delivering inclusive content is essential for ensuring the success of a media platform, according to the World Economic Forum. Diverse newsrooms better represent the variety of perspectives and experiences within society and are likely to create content that appeals to a wider audience base. Unfortunately, today’s newsrooms have a way to go to achieve diversity objectives.

A two-year study, The Damned Pipeline: U.S. News Industry’s Broken Parity Promise from the National Association of Hispanic Journalists (NAHJ), explores the diversity of 22 major news organizations nationwide. The report findings show an underrepresentation of racial and ethnic cohorts among investigative teams and editors ―with an overwhelming prevalence of White news reporters (60%).

By contrast, Latino reporters comprise only 13% of investigative reporters but represent 19% of the U.S. population. Similarly, Black reporters comprise 9% of investigative teams, compared to their 13% share in the overall population. The survey also indicates that Indigenous reporters constitute fewer than 1% of investigative staff. On the other hand, Asian American and Pacific Islander (AAPI) reporters show a different trend, representing 11% of investigative staff compared to their 6% share in the population.

The report notes that traditional corporate newsroom managers need help establishing a culture that effectively mentors and recruits reporters of different ethnic and racial backgrounds. Regarding the actual employee count of nearly 180 investigative reporters, about two dozen are Latino reporters, 19 are AAPI reporters, 15 are Black reporters, and two are Indigenous reporters.

Further, the need for more diversity is even more pronounced among editors. There are only seven Latino investigative editors, three Black investigative editors, two AAPI editors, and no Indigenous editors among the survey respondents.

The study shows progress in gender diversity ― 44% of reporters and 46% of editors identify as female.

Newsrooms pursue staff diversity

Some newsrooms are taking initiatives to prioritize diversity and ensure a more inclusive representation of different races, genders, ethnicities, and perspectives in their news reporting and decision-making processes.

Associated Press: The Associated Press (AP) revamped its investigative team over the last few years. They focused on broadening the concept of investigative reporting by non-specialists to develop investigative skills among more diverse staff members. The AP introduced inclusive hiring practices, mentoring programs, and internal fellowships. AP also established an investigative correspondents program, a six-month internal fellowship, and other mentoring opportunities.

ProPublica: Newsroom leaders at ProPublica focus on metrics, holding themselves accountable to increase the diversity of the reporting staff. Their initiatives include extending searches for diverse talent, an Investigative Editor training program, and increasing fellow salaries to $75,000 to attract a more diverse candidate pool.  

Los Angeles Times: The Los Angeles Times engaged with the NAHJ Task Force two years ago. At that time, racial and ethnic reporters comprised one-sixth of their investigative team covering a highly diverse metropolitan area. By September 2022, the LA Times announced the addition of three reporters to enhance its investigative team’s diversity in terms of gender, race, and ethnicity.

As the U.S. undergoes demographic shifts, it’s crucial for newsrooms, especially in specialized areas like investigations, to evolve accordingly. The task force views the survey and dialogues as initial measures in fostering industry accountability. NAHJ aspires to gather more newsroom partners in their ongoing commitment to mirror the evolving demographics changes in the U.S.

Diversity, Equity & Inclusion | Industry-Research | Innovation

Flexibility is the new norm in newsrooms



News organizations worldwide are adjusting their operational approaches in response to external shifts and internal dynamics. Reuters Institute’s annual report, Changing Newsrooms, explores these evolving newsrooms. They gathered insights from surveys and in-depth interviews with 135 senior industry leaders from 40 countries worldwide. The respondents include editors-in-chief/executive editors, CEOs, managing editors, and other senior positions in editorial, audience, talent development, and commercial.

Reuters’ research reveals a notable trend in adopting flexible work models among newsroom leaders, with 65% implementing varying rules. Within this landscape, 15% of the sampled organizations extend complete flexibility to employees, allowing them to choose their work location and work from home. However, a more common scenario shows half of the sample (52%) offering only some flexibility to their employees.

Approximately 30% of participants noted that their organizations require employees to be in the office on specific weekdays with strict enforcement. However, 22% report no active monitoring to verify adherence to this policy. Notably, 38% of respondents express concerns about a weakened sense of belonging due to hybrid and flexible working arrangements.

Like last year’s findings, many survey participants believe the shift to hybrid and flexible working has had a limited impact on productivity. Specifically, 48% express that productivity has remained unchanged, while 26% believe it has increased. Notably, a minority of 19% indicate that flexible and hybrid working has decreased productivity.

Retiring “hybrid work” and embracing flexibility

The report cites Brian Elliott from Future Forum advocating for retiring the term “hybrid work” in favor of embracing a more “flexible” approach. He emphasizes that employees seek the freedom to work where and when they perform best—a blend of team collaboration and individual autonomy. Many companies, he notes, opt for simplistic solutions rather than restructuring their practices for a truly distributed workforce.

AI adoption and adaptation

The research also explores how global news organizations adapt to external changes and internal dynamics, focus on talent strategies, and cultivate inclusive cultures. Three-quarters of respondents (74%) believe generative AI will enhance productivity without fundamentally changing journalism, while 21% foresee transformative effects.

Regarding establishing high-level principles governing the use of generative AI in news organizations, just over one-third of respondents (39%) mentioned that their organization is actively developing these principles. In comparison, 29% already have some guidelines in place. One-fifth (21%) stated that they are contemplating such principles but have yet to implement them.


Although a considerable number have either developed or are in the process of developing high-level principles, only 16% have detailed guidelines in place for the specific use of generative AI. Thirty-five percent are currently working on formulating these guidelines, and 30% are in the consideration phase.

Diversity challenges and strategies

Challenges persist in navigating the evolving newsroom landscape. While 90% feel their organizations excel in gender diversity, numbers drop for political (55%), disabilities (54%), and ethnic (52%) diversity. Further, 43% have a systematic strategy for diversifying talent acquisition, but systematic approaches are less common for retaining talent and reflecting diversity in stories produced.

Diverse talent acquisition remains a significant challenge, cited by 57% of respondents. Retaining diverse talent, prioritizing diversity, and understanding its value are additional hurdles. The report underscores the need for structured plans to address these challenges systematically.

This research provides a comprehensive snapshot of the evolving newsroom landscape: flexible work models, generative AI, and diversity initiatives present challenges and opportunities. As news organizations adapt to external forces, the report highlights the importance of flexibility, strategic planning and systematic approaches to foster an inclusive, innovative newsroom culture.

Industry-Research

Who is using generative AI? And why?

Generative AI can compose content with simple prompts. Where AI used to be the stuff of science fiction and provenance of companies with deep tech expertise, this latest evolution puts these capabilities in the hands of anyone and everyone. Generative AI is a truly transformative technology. A new report from UK communications regulator Ofcom, the Online Nation 2023 Report, includes a section that delves into user adoption of generative AI, motivations, and concerns, and offers insights into this evolving technological paradigm.

Ofcom’s research highlights significant usage of generative AI among UK internet users. Three in 10 respondents, ages 16+, use generative AI tools, with a notable gender difference – 39% of online men versus 24% of women. Young adults, ages 16 to 24, are the most active users, with 74% engaging with generative AI, while only 14% of those ages 45+ use it.

There are a range of reasons why people use generative AI, as well as of their reasons for trying it. Most respondents (58%) report using generative AI for fun, others cite the desire to chat or explore technology (48%), for work-related purposes (33%), and to assist with studies (25%). However, 69% of internet users claim they have never used generative AI, citing disinterest (36%), lack of need (31%), or unfamiliarity with the technology (24%) as primary reasons.

Generative AI products

OpenAI stands at the forefront of the generative AI landscape, with tools like DALL-E for image generation and ChatGPT, a large language model-based chatbot. According to the Ofcom report, ChatGPT reached 100 million monthly active users globally in January 2023. OpenAI’s offerings include ChatGPT 3.5, a free chatbot, GPT-4 available via subscription, and ChatGPT Enterprise tailored for businesses, which offers enhanced security features.

OpenAI integrated DALL-E 3 into ChatGPT Plus and Enterprise in September 2023, allowing text requests to be translated into detailed images. OpenAI also announced plans for voice and image engagement with ChatGPT. The UK audience for OpenAI’s website is steadily growing among younger adults.

While OpenAI dominates the generative AI landscape, other players are emerging. Though experiencing initial success, Google’s Bard declined in reach from 2% in March 2023 to 1% in May 2023 among UK online adults. However, the company just introduced Gemini, which it claims outperforms ChatGPT. Google is also working on embedding generative AI capabilities into its search engine and in the USA is testing its ‘Search Generative Experience’ with interested members of the public.

In addition to OpenAI’s offerings, a niche service like Midjourney, which generates digital images from natural language descriptions, is available via subscription, starting at $10 per month. The report states that in May 2023 261k (0.6%) UK online adults visited the Midjourney website.

Further, the creation of ChatGPT encouraged other online services to either create their proprietary generative AI tools or seamlessly integrate ChatGPT into their existing offerings. A notable example is Snapchat, which incorporated ChatGPT into its services. Snapchat’s Snapchat My AI is one of the most widely used generative AI services among children and teens.

Three in five of Ofcom’s respondents, ages 7 to 17, use generative AI tools, with Snapchat My AI being the most accessible tool. Usage patterns differ by age, with teenagers (79%) embracing generative AI more than those ages 7-12 (40%). Female teens are prominent users of Snapchat My AI at 75%.

Generative AI concerns

Ofcom’s report also identifies concerns about generative AI’s societal impact, with 58% worrying about the technology’s future implications. The younger demographic, aged 16 to 24, is particularly cautious, with two-thirds expressing concern, while 53% of those aged 25 to 34 share similar sentiments.

Generative AI is weaving itself into the fabric of digital experiences, capturing the imagination of users across age groups. OpenAI’s ChatGPT leads the way, engaging millions globally, while other players like Google and emerging niche services contribute to the evolving landscape. As concerns about societal impacts persist, the dynamic relationship between generative AI and user preferences continues to shape the trajectory of this technology.

Industry-Research | Policy

Allowing big tech to monopolize AI is risky business

Artificial Intelligence (AI) is a groundbreaking yet potentially problematic technology. Despite its many possible positive applications, there are many concerns about the potential threats of AI, from disseminating misinformation to surveillance and democratic disruptions. Exacerbating the risk of harmful applications, concerns have arisen around the stifling of innovation and how AI will develop if just a handful of big tech companies dominate the playing field.

Open Markets Institute and the Center for Journalism and Liberty’s new report, AI in the Public Interest: Confronting the Monopoly Threat, looks at some of the major concerns around the development and applications of AI. It also examines the potential monopolistic influence of the Tech giants, (Google, Amazon, Microsoft, Meta, and Apple) on the evolution of AI. As the authors posit, “How AI is developed and the impact it has on our democracies and societies will depend on who is allowed to manage, develop, and deploy these technologies, and how exactly they put them to use.”

Authors Barry Lynn, Max von Thun, and Karina Montoya highlight government responses to concerns in early-stage regulations. Actions in Europe include the EU’s Artificial Intelligence Act, while the UK’s competition authority delves into the competition landscape of foundation models. In the US, the Biden Administration outlined a Blueprint for an AI Bill of Rights and issued a comprehensive Executive Order targeting AI-related harms.

The dangers of monopolist AI development

The report examines the tech giants’ structures and the behaviors of controlling foundational AI technologies. The influence of major tech corporations extends to the entire spectrum of innovation within the Internet tech stack, allowing them to (broadly) control the direction, speed, and nature of innovation. The authors suggest that these companies’ stronghold over “upstream” infrastructure empowers them, for example, to identify and suppress potential rivals through various means, directing the entire “downstream” ecosystem to serve their interests.

The authors call out several harms that can result from this dominant role in the evolution of AI:

  1. Suppression of trustworthy information: Restructuring communication and commercial systems can hamper individuals’ ability to access, report, verify, and share reliable information.
  2. Spread of propaganda and misinformation: AI can enable personalized manipulation of propaganda and misinformation (at scale), intensifying their political, social, and psychological impact. The reach and power of tech giants, combined with generative AI capabilities, elevate the effectiveness of state-level and private actors in manipulating public opinion.
  3. Addiction to online services: The rise of social media, gaming, and other online services has been linked to addiction and mental health issues, particularly among minors. Monopolistic platforms, prioritizing screen time and viral content, can exploit generative AI’s ability to customize and target content, intensifying harmful effects.
  4. Employee surveillance: Tech corporations may utilize surveillance and AI to monitor employees, which would impact privacy and fair employment practices.
  5. Monopolistic extortion: Through control of ecommerce platforms, app stores, and other gateways, corporations can extract fees from sellers and dictate business terms.
  6. Reduce security and resilience: Concentration in the core infrastructure poses security risks as businesses and governments increasingly incorporate AI.
  7. Degrading essential services: Generative AI can reduce quality by producing large volumes of inaccurate content.

Applying competitive legal measures

History reveals that competition laws, antitrust measures, and regulations are vital to prevent powerful corporations from exploiting groundbreaking technologies. The authors advocate for effective oversight and control mechanisms. Applying tools to regulate corporate behavior and industry governance empowers the public, ensuring consumers benefit from these technological advances. This approach facilitates the protection of individual and public interests through regulatory practices.

Recommendations for immediate action:

  • Stop large tech companies from controlling AI: Make big tech companies change their plans when they try to control the development of AI through deals and partnerships.
  • Share large tech company data with everyone: Agree that the information big companies collect should be shared with everyone and make rules about who can use this data to benefit the public.
  • Protect artists’ and writers’ work: Make sure the big companies can’t steal or misuse the work of artists, writers, and other creative people.
  • Check if large tech companies are a security risk: Look closely at how big companies might risk the country’s safety and ensure they can’t control everything and make it safer.
  • Protect people from digital tricks: Make strong rules to stop big tech companies from tricking and exploiting workers and contractors online.
  • Stop unfair treatment by large tech companies: Make it illegal for powerful tech companies to treat people and businesses unfairly when providing important services.
  • Acknowledge the importance of cloud computing: Make sure the big tech companies don’t have too much control over it by treating it like a regulated utility.
  • Make laws work together: Make sure the people enforcing laws about fair competition and privacy work together closely.

Fair market

The authors suggest market structures ensure AI serves the public interest and remains subject to democratic control by citizens, not corporations. The Biden White House is adopting a “whole-of-government” strategy including privacy, consumer protection, corporate governance, copyright law, trade policy, labor law, and industrial policy to deal with the AI trajectory. 

The report concludes the more seamlessly these regulatory frameworks are integrated in the United States and globally, the more effective the process. By leveraging the collective power of diverse regulatory mechanisms, AI can become a force for the common good, guided by democratic principles and serving the welfare of the people.

Diversity, Equity & Inclusion | Industry-Research

The TV industry shows mixed results in employment diversity

Constituting about 43.1% of the U.S. population in 2022, people of color will become the majority within a couple of decades. However, despite some minor gains in 2021-22, people of color and women remained underrepresented in most television employment arenas. For both women and people of color, the “bright spot” exceptions were among cable scripted leads and credited cable writers.

According to the tenth annual Hollywood Diversity Report 2023, the television industry is progressing in diversity and representation, but much more work needs to be done. Part 2 of the Hollywood Diversity Report 2023 examines 521 live action, scripted television shows airing or streaming during the 2021-22 season. Part 2, which focused on 2022 Hollywood theatrical and streaming films, was released in March 2023.

Part 2 of the report shows that individuals from underrepresented communities are experiencing employment growth compared to their White colleagues. However, individuals from diverse backgrounds remain underrepresented across all aspects of industry employment during the 2021-22 television season.

Representation in core employment categories:

  • Broadcast scripted leads: less than 2 to 1 representation (33%).
  • Digital scripted leads: nearly proportionate representation (36%).
  • Broadcast scripted show creators: 2 to 1 representation (23%).
  • Cable scripted show creators: less than 2 to 1 representation (30%).
  • Digital scripted show creators: less than 2 to 1 representation (26%).
  • Broadcast episodes directed: less than 2 to 1 representation (31%).
  • Cable episodes directed: nearly proportionate representation (40%).
  • Digital episodes directed: less than 2 to 1 representation (32%).
  • Credited broadcast writers: nearly proportionate representation (36%).
  • Credited digital writers: nearly proportionate representation (38%).

Significantly, people of color more than quintupled their share of broadcast scripted show creators between the 2011-12 and 2021-22 television seasons — from 4% to 23%. However, they must double their 2021-22 share to reach proportionate representation in this employment arena (43%).

In addition, Black individuals constitute the only group to exceed proportionate representation among leads in the 2021-22 season across all platforms.

Female inclusion

The report also measures gender representation. While female employment increased across seven of the 12 key Hollywood categories, women remain underrepresented in most areas.

  • Broadcast scripted show creators: nearly proportionate representation (42%)
  • Cable scripted show creators: less than 2 to 1 representation (34%)
  • Digital scripted show creators: less than 2 to 1 representation (37%)
  • Broadcast episodes directed: less than 2 to 1 representation (37%)
  • Cable episodes directed: less than 2 to 1 representation (38%)
  • Digital episodes directed: less than 2 to 1 representation (37%)
  • Credited broadcast writers: nearly proportionate representation (46%)
  • Credited digital writers: Nearly proportionate representation (47%)

Representation of those with disabilities

Further, new to this year’s report is monitoring the number of individuals with disabilities employed in the television industry. In the 2021-22 television season, there were very few actors with visible disabilities on scripted shows. Among actors with known disabilities, the majority reported mental health issues, learning, or neurological disabilities (77%).

In broadcast scripted shows, only two actors had a physical disability that was visible or a hearing disability (0.3%). In cable scripted shows, only four actors had a physical or medical disability that was visible or a hearing disability (0.6%). In digital scripted shows, eleven actors had a physical or medical disability that was visible or a hearing or visual impairment disability (0.5%). Overall, individuals with disabilities are substantially underrepresented across all platforms ― broadcast, cable, and digital.

Budgetary equality

There are also significant disparities in the budgets allocated to shows created by women and people of color compared to shows created by White men. In both cable and digital, White female creators and creators of color are more likely to have smaller budgets, under $3 million per episode, than White male creators.

Part 2 of the Hollywood Diversity Report 2023 highlights the ongoing struggle for inclusivity in television. Despite some progress, individuals from underrepresented communities continue to face a lack of representation in employment and budget allocations. The report finds that, amid a changing industry marked by increasingly niche programming across platforms, evidence from the 2021-22 television season continues to show that increasingly diverse audiences gravitate to content featuring diversity in some form. Therefore, the report underscores the need for increased industry efforts to create a more inclusive and equitable television employee marketplace, and to better appeal to audiences now and moving forward.

Industry-Research

People get their information from social media but don’t trust it

For many people, social media is an indispensable tool for communication, information consumption, and entertainment. However, its pervasiveness raises concerns about its potential negative impact, particularly the spread of disinformation and hate speech. The use of social media as a daily source of information has rapidly grown over the past 15 years, to the point of now surpassing print media, radio, and even television according to a new report.

Research from Ipsos and UNESCO, Global Survey on the Impact of Online Disinformation and Hate Speech, sheds light on the complex interplay between social media and information consumption. On average, 56% of internet users across 16 countries frequently rely on social media to stay updated on current events. This finding highlights social media’s growing influence in shaping public opinion and political discourse.

The study reveals that social media is the primary source of information for internet users across countries with high and medium/low levels of the Human Development Index. The Human Development Index (HDI) is a statistical tool used to measure a country’s overall achievement in its social and economic dimensions. The HDI was created to re-emphasize that people and their capabilities should be the ultimate criteria for assessing the development of a country, not economic growth.

The study breaks out HDI as follows:

  • Countries with a very high HDI (>0.800): Austria, Belgium, Croatia, Romania, and the United States.
  • Countries with a high HDI (0.700 to 0.799): Algeria, Dominican Republic, Indonesia, Mexico, South Africa, and Ukraine.
  • Countries with a medium or low HDI (<0.700): Bangladesh, El Salvador, Ghana, India, and Senegal.

Unfortunately, the study confirms the widespread perception of social media as a platform for disseminating disinformation. Over two-thirds of respondents in the survey believe that social media is the primary source of disinformation. That means it also surpasses traditional media outlets like television, radio, and print media. This concern is particularly prevalent among younger generations, with 74% of respondents under the age of 35 reporting encountering hate speech online. So, while people rely more heavily on social media for their information—over traditional media sources—they also believe social media is more likely to be a source of disinformation.

Addressing disinformation

The study further indicates that social media platforms must adequately address the issue of disinformation. Only 50% of respondents expressed trust in news from social media, compared to 66% for television news, 63% for radio news, and 61% for print media news. These findings suggest that social media fails to meet users’ expectations regarding providing accurate and reliable information.

In response to these concerns, citizens are advocating for stricter regulation of social media platforms. Over 90% of respondents believe social media platforms should mandate trust and safety measures to combat disinformation. Further, 89% concur that governments and regulatory bodies should enforce these measures.

The research also underscores the importance of citizen engagement in combating online disinformation. Less than half of all respondents (48%) say they reported online content related to disinformation during an election campaign to social media platforms. Those reporting disinformation are more likely to be younger and have a more substantial interest in politics. This suggests a need to encourage more informed and active participation from older citizens in addressing the issue of disinformation.

Call to action

Ipsos and UNESCO’s findings underscore the need for a comprehensive approach to tackling the challenges posed by social media. The approach includes:

  • regulation of social media platforms;
  • media literacy education for citizens; and
  • fact-checking and verifying information.

Social media is ubiquitous and brings unique challenges that require proactive measures. Social platforms need to do limit the spread of disinformation. Platforms can limit the number of times a post is shared and require users to verify the accuracy of a post before sharing it. They can also display warnings about the potential spread of disinformation. It’s time that platforms create a more responsible online space where people can access accurate news without exposure to misinformation and hate speech.

Industry-Research | Revenue

Yes, there’s still room for subscription growth

The subscription-based model is is one of the foundational models of the digital media marketplace. It offers predictive and reoccurring revenue, reduces reliance on advertising, and provides a deeper customer relationship. The subscription business also comes with challenges ― conversion, churn, and subscription fatigue. Understanding consumers is essential for subscription-based businesses to optimize customer acquisition, improve customer retention, and stay competitive in the market.

New research, No sign of peak subscriptions conducted by Toolkits and the National Research Group, offers insight into consumer attitudes to publishers’ digital subscription products. The research findings indicate that 29% of subscribers report an increase in their subscriptions over the past year. In contrast, only 7% reported a decrease in their subscriptions during the same period, suggesting a lack of subscription saturation.

The rise of the “power subscribers“

Toolkit’s 2022 research revealed that a relatively compact yet deeply involved segment of “power subscribers” accounted for an outsized portion of subscriptions in the U.S. This group comprises approximately 4% of the population and does not show signs of subscription saturation. Further, this year’s data suggests that consumer’s appetite for additional subscriptions remains strong.

In fact, one-third of current subscribers (33%) anticipate increasing their subscriptions in the future, compared to 27% last year. Conversely, only 21% of subscribers plan to reduce their subscriptions compared to 29% in 2022. The availability of more subscription products and subscriber-only content likely contributes to this trend.

Subscription revenue and audience dynamics

While power subscribers continue to drive demand, reliance on a relatively small audience is not a strong business plan. If power subscribers reduce their subscriptions significantly or fail to add new ones, it would pose a strong risk to the subscription revenue stream.

The research highlights that attracting and converting first-time subscribers is essential to sustain growth in the digital media subscription market. Publishers must focus on reaching new audiences and investing in programs that target younger demographics. Consumers most likely to subscribe to at least one subscription include men, people earning over $100,000 annually, and those 25 to 34-year-olds.  

Thinking about targeting across content categories could offer new subscriber acquisition opportunities. Top subscriber categories include those in news and current affairs (46%) and media and entertainment (41%) for the second consecutive year. Following closely in the rankings are sports (36%), cooking (29%), and lifestyle (29%).

Importantly, unlocking incremental growth depends on attracting first-time subscribers. Increasing investment in programs and strategies targeting younger audiences and educating them about the value of digital subscriptions is essential to sustain growth.

The power of a good bundle

The study shows that 81% of subscribers report owning subscriptions to more than one digital publication, up from 71% last year. As the number of subscribers owning multiple digital publications increases, there is an opportunity for bundled products. However, working with intermediaries offers challenges, specifically relinquishing the direct relationship with audiences to third-party platforms.

The subscription model is a vital and growing business in digital media. The availability of more subscription products and exclusive content contributes to this positive trend. To sustain the growth in direct consumer revenue, digital media companies must attract new audiences while super-serving their core power subscriber segment.

©2024 Digital Content Next. All Rights Reserved.