On Thursday, July 25, the Federal Communications Commission (FCC) released a Notice of Proposed Rulemaking (NPRM) proposing new requirements for radio and television broadcasters and certain other licensees that air political ads containing content created using artificial intelligence (AI).  The NPRM was approved on a 3-2 party-line vote and comes in the wake of an announcement made by FCC Chairwoman Jessica Rosenworcel earlier this summer about the need for such requirements, which we discussed here

At the core of the NPRM are two proposed requirements.  First, parties subject to the rules would have to announce on-air that a political ad (whether a candidate-sponsored ad or an “issue ad” purchased by a political action committee) was created using AI.  Second, those parties would have to include a note in their online political files for political ads containing AI-generated content disclosing the use of such content.  Additional key features of the NPRM are described below.

  • Definition of “AI-Generated Content.”  The NPRM proposes to adopt a broad definition of AI-generated content to mean “an image, audio, or video that has been generated using computational technology or other machine-based system that depicts an individual’s appearance, speech, or conduct, or an event, circumstance, or situation, including, in particular, AI-generated voices that sound like human voices, and AI-generated actors that appear to be human actors.”  The NPRM expresses particular concern about “deepfakes” given that deepfakes could, according to the NPRM, mislead the public about candidate positions or create distrust among potential voters.
  • Covered Entities.  The NPRM proposes to apply its requirements to radio and television broadcast stations, cable operators, Direct Broadcast Satellite (DBS) providers, and Satellite Digital Audio Radio Service (SDARS) licensees that originate programming.  It also proposes to apply its requirements to permit holders broadcasting programming from foreign stations into the United States under Section 325(c) of the Communications Act.  (We refer to these entities as “Covered Entities” throughout.)
  • Inquiry Requirement for Covered Entities.  The NPRM proposed a rule that would require a Covered Entity to ask a party seeking to air a political ad whether the ad in question contains AI-generated content.  Specifically, “at the time an agreement is reached to air a political ad,” a Covered Entity would have to (a) inform the person or entity requesting airtime that the station is required to make an on-air disclosure for political ads containing AI-generated content, and (b) inquire whether the ad in question includes AI-generated content.  The NPRM also seeks comment on the extent of the Covered Entity’s duty to make inquiries regarding whether an ad includes AI-generated content.  For example, the NPRM asks whether a Covered Entity could meet the new requirement if it merely asks about the content of the ad but does not receive a response.  The NPRM also asks how the FCC should handle circumstances in which a Covered Entity learns from a third party that a political ad contains AI-generated content, which the advertiser failed to disclose.
  • Requirement to Provide an On-Air Disclosure of AI-Generated Content.  Where a Covered Entity is aware that a political ad scheduled to be aired contains AI-generated content, the NPRM would require that the Covered Entity make an on-air announcement preceding or during the ad that the ad contains such content.  For radio ads, the Covered Entity would be required to include an oral announcement that “The following message contains information generated in whole or in part by artificial intelligence.”  For television ads, the Covered Entity would be required to either provide the above message orally or visually in font of a specified size.  (The licensee would be permitted to substitute “This message” for “The following message.”)  As with other on-air disclosures, these announcements would have to be clear and conspicuous – i.e., they would have to be spoken at an understandable speed (radio) and appear in an intelligible size and style font (video).
  • Requirement to Provide a Notice of AI-Generated Content in Political Files.  Covered Entities that air political ads containing AI-generated content would be required to include a notice in their political files for any political ad containing AI-generated content.  The notice would have to include the following language: “This message contains information generated in whole or in part by artificial intelligence.”
  • Network and Syndicated Programming Ads.  The NPRM also seeks comment on whether and how to apply its proposed on-air and political file disclosure obligations to a candidate or issue ad embedded in network or syndicated programming aired by a broadcast station.  Recognizing that a station may not have direct contact with an advertiser in these circumstances, the NPRM asks whether the FCC should require the station to ask the network (or syndicated programmer) about the content of the ad.  To better inform any approach for potentially applying the new requirements to stations airing political ads embedded in network and syndicated programming, the NPRM seeks information about how stations currently comply with their existing political advertising and political file obligations in these contexts.
  • Statutory Authority.  The NPRM premises the FCC’s authority to adopt the new requirements primarily on its authority to adopt rules in the public interest under Section 303(r) of the Communications Act.  However, it notes that cable operators engaged in origination programming are not subject to the FCC’s Section 303(r) rulemaking authority, and seeks comment on other statutory provisions (e.g., Section 315) that could provide a basis for application of the requirements to those licensees.  The NPRM also acknowledges and seeks comment on the potential First Amendment concerns associated with the new requirements, but tentatively concludes that “the proposed on-air disclosure and political file requirements comport with the First Amendment right to free speech, regardless which level of scrutiny applies.”

Commissioner Brendan Carr authored an extensive dissenting statement to the NPRM, arguing that it represents an effort “to fundamentally alter the regulation of political speech” to the advantage of the Democratic candidates.  The dissent argues that the NPRM oversteps the FCC’s statutory authority, is deficient under the Administrative Procedure Act, and would fail to address the problem it identifies.  Commissioner Nathan Simington also dissented, issuing a statement discussing the flaws of seeking to impose additional asymmetric requirements on broadcasters that do not apply to online media and questioning the FCC’s authority to take the proposed actions.  

Comments on the NPRM will be due 30 days after its publication in the Federal Register.

Photo of Gerard J. Waldron Gerard J. Waldron

Gerry Waldron represents communications, media, and technology clients before the Federal Communications Commission and Congress, and in commercial transactions. Mr. Waldron served as chair of the firm’s Communications and Media Practice Group from 1998 to 2008. Prior to joining Covington, Mr. Waldron served…

Gerry Waldron represents communications, media, and technology clients before the Federal Communications Commission and Congress, and in commercial transactions. Mr. Waldron served as chair of the firm’s Communications and Media Practice Group from 1998 to 2008. Prior to joining Covington, Mr. Waldron served as the senior counsel on the House Subcommittee on Telecommunications. During his work for Congress, he was deeply involved in the drafting of the 1993 Spectrum Auction legislation, the 1992 Cable Act, the Telephone Consumer Protection Act (TCPA), CALEA, and key provisions that became part of the 1996 Telecommunications Act.

Mr. Waldron’s practice includes working closely on strategic and regulatory issues with leading IT companies, high-quality content providers in the broadcasting and sports industries, telephone and cable companies on FCC proceedings, spectrum entrepreneurs, purchasers of telecommunications services, and companies across an array of industries facing privacy, TCPA and online content, gaming, and online gambling and sports betting-related issues.

Mr. Waldron has testified on communications and Internet issues before the FCC, U.S. House of Representatives Energy & Commerce Committee, the House Judiciary Committee, the Maryland Public Utility Commission, and the Nevada Gaming Commission.

Photo of Yaron Dori Yaron Dori

Yaron Dori is co-chair of the Communications & Media Practice Group. He practices primarily in the area of telecommunications, privacy and consumer protection law, with an emphasis on strategic planning, policy development, commercial transactions, investigations and enforcement, and overall regulatory compliance. Mr. Dori…

Yaron Dori is co-chair of the Communications & Media Practice Group. He practices primarily in the area of telecommunications, privacy and consumer protection law, with an emphasis on strategic planning, policy development, commercial transactions, investigations and enforcement, and overall regulatory compliance. Mr. Dori advises clients on, among other things, federal and state wiretap and electronic storage provisions, including the Electronic Communications Privacy Act (ECPA); regulations affecting new technologies such as online behavioral advertising; and the application of federal and state telemarketing, commercial fax, and other consumer protection laws to voice, text and video transmissions sent to wireless devices and alternative distribution platforms. Mr. Dori also has experience advising companies on state medical marketing privacy provisions, and, more broadly, on state attorney general investigations into a range of consumer protection issues.

Photo of Jennifer Johnson Jennifer Johnson

Jennifer Johnson is co-chair of the firm’s Communications & Media Practice Group.  She represents and advises broadcast licensees, trade associations, and other media entities on a wide range of issues, including:  regulatory and policy advocacy; network affiliation and other programming agreements; media joint…

Jennifer Johnson is co-chair of the firm’s Communications & Media Practice Group.  She represents and advises broadcast licensees, trade associations, and other media entities on a wide range of issues, including:  regulatory and policy advocacy; network affiliation and other programming agreements; media joint ventures, mergers and acquisitions; carriage negotiations with cable, satellite and telco companies; media ownership and attribution; and other strategic, regulatory and transactional matters.

Ms. Johnson assists clients in developing and pursuing strategic business and policy objectives before the Federal Communications Commission and Congress and through transactions and other business arrangements.  Her broadcast clients draw particular benefit from her deep experience and knowledge with respect to network/affiliate issues, retransmission consent arrangements, and other policy and business issues facing the industry.  Ms. Johnson also assists investment clients in structuring, evaluating and pursuing potential media investments.  She has been recognized by Best Lawyers, Chambers USA, Legal 500 USA,Washington DC Super Lawyers, and the Washingtonian as a leading lawyer in her field.

Photo of Jorge Ortiz Jorge Ortiz

Jorge Ortiz is an associate in the firm’s Washington, DC office and a member of the Data Privacy and Cybersecurity and the Technology and Communications Regulation Practice Groups.

Jorge advises clients on a broad range of privacy and cybersecurity issues, including topics related…

Jorge Ortiz is an associate in the firm’s Washington, DC office and a member of the Data Privacy and Cybersecurity and the Technology and Communications Regulation Practice Groups.

Jorge advises clients on a broad range of privacy and cybersecurity issues, including topics related to privacy policies and compliance obligations under U.S. state privacy regulations like the California Consumer Privacy Act.

John Bowers

John Bowers is an associate in the firm’s Washington, DC office. He is a member of the Data Privacy and Cybersecurity Practice Group and the Technology and Communications Regulation Practice Group.

John advises clients on a wide range of privacy and communications issues…

John Bowers is an associate in the firm’s Washington, DC office. He is a member of the Data Privacy and Cybersecurity Practice Group and the Technology and Communications Regulation Practice Group.

John advises clients on a wide range of privacy and communications issues, including compliance with telecommunications regulations and U.S. state and federal privacy laws.