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Facebook to Allow Online Gambling AdsBy: Joe Valentino, Thursday August 25th 2011![]() ![]() ![]() Social networking has taken the world by storm, and Facebook is the largest social networking platform. Facebook is free to users. It generates its revenues through advertisements. Facebook has Ad Guidelines that specify who can advertise what on Facebook. In order to increase the advertising revenue Facebook is trying to attract a wider range of industries, by giving them the opportunity to reach out to the millions of users of Facebook. It has therefore announced policy changes for its Ad Guidelines. As a part of this initiative Facebook has issued a new directive that permits online and offline gambling advertising subject to certain constraints. The changes announced now are in continuation of some earlier initiatives in which Facebook relaxed some of its gambling promotional guidelines. It had eased the prohibitions on contests, sweepstakes and some other gambling verticals. The thrust of the changes is that local laws must be followed and that specific prior authorization and consent must be obtained from Facebook. The current changes to the Ad Guidelines are as follows. Since online gambling is not legal in the United States, at least according to the federal authorities, online gambling advertisements must be targeted outside the United States. Ads that promote or facilitate online gambling, including games of skill, lotteries, online casinos, sports books, bingo or poker will be allowed only in specific countries. Lottery commissions that are licensed or sponsored by government entities will be allowed to advertise on Facebook. Again, these ads must ensure that they are compliant with applicable law in the jurisdiction in which the ads will be released. Also the ads must only target users in the jurisdiction in which the online gambling is available. Similar restrictions apply to ads that promote land gambling establishments such as casinos. These ads can be released only in countries where gambling is permitted, they have to comply with applicable laws and regulations and must be targeted on those who have attained at least the generally accepted age of majority of 18 years. The main difference is that these ads would generally be permitted without prior Facebook approval if they meet the required conditions. Gambling ads can only be purchased through a direct sales partnership with Facebook, which requires a monthly minimum spend of $30,000. The other Facebook mechanisms like the self-serve ads tool or the Ads API cannot be used to purchase gambling ads. It must be pointed out that several online casinos have Facebook pages. These are not treated as ads by Facebook. Some of these online casinos are All Star Slots, Platinum Play, Spin Palace and InterCasino. News Item Tools
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