FTC Pans Music Labels for Lack of Self-Policing

The Federal Trade Commission offered chapter and verse against the recording industry Tuesday for failing to heed criticism that it markets violence to children.

The report, a follow-up to its September study, largely credited the movie and video game industries for their efforts to stop targeting children as an audience for adult material.

The FTC found that all five major record labels still routinely advertised music with “explicit content”--violent, lurid or obscene lyrics--on afternoon and early-evening shows popular with teens.

Universal Music Group, the world’s largest music conglomerate, was cited for running ads for controversial artist Marilyn Manson on MTV’s “Total Request Live” even though nearly six in 10 of its viewers are younger than 18. UMG also ran ads for hard-edged acts such as Ludacris and Limp Bizkit on shows with large youth audiences, including UPN’s “WWF Smackdown” and BET’s “Top Ten Live.”

In fact, BET’s “Top Ten Live,” with minors making up 41% of its audience, aired 23 of the 35 commercials for recordings carrying “parental advisory” warnings during seven weeks in December and January.

“We agree that we need to do a better job of following our own guidelines,” said Hilary Rosen, president of the Recording Industry Assn. of America.

The update on marketing of violent material to children by the movie, music and video game industries focused on two issues: whether adult-rated material was still being aimed at minors and whether entertainment company advertisements were clearly displaying the ratings.

The recording industry scored low on both counts, with the report criticizing companies for rarely including parental advisory warnings in advertisements.

Of 147 ads for recordings with lyrics acknowledged by the record studios as requiring parental advisory stickers, only 45 carried them. Even when the warning was posted, the report said, “it frequently was so small that the words were illegible.”

FTC Chairman Robert Pitofsky called the recording industry’s response “disappointing,” citing “its failure to institute positive reforms to its self-regulatory structure.”

At issue in particular was the withdrawal of industrywide marketing guidelines offered as a preemptive move last year by the RIAA. The association touted the new guidelines as proof of its resolve to address concerns about the industry’s behavior.

The plan to standardize the marketing of material bearing a parental advisory sticker was pulled shortly after last year’s congressional hearings, when record executives expressed concern that such a system would expose them to civil liability.

Sen. Sam Brownback (R-Kan.), who had pushed for an FTC inquiry into Hollywood’s marketing practices, rebuked record industry officials Tuesday for being “aloof” and failing “to enact any of the reforms it announced to Congress and the public.”

“That the music industry would continue to make a killing off marketing violence to kids is irresponsible and wrong; that they would directly mislead the Senate Commerce Committee shows contempt for Congress,” Brownback said.

The news was far better for movie and video game executives, who had been the target of biting attacks at congressional hearings called in September after the initial report was released.

In sharp contrast to the original 105-page study, the first of two follow-ups requested by the Senate Commerce Committee found “virtually no advertisements for R-rated movies in popular teen magazines reviewed.” The FTC also found “substantial compliance” with Hollywood’s promise to keep trailers for R-rated films out of screenings of G- and PG-rated movies.

Still, the report said movie studios continued to advertise R-rated movies on television shows with large audiences younger than 17. The review continuously monitored top-rated syndicated and network programs most watched by 17-year-olds and younger kids in December and January.

That review found 60 instances of R-rated films such as “Hannibal” and “Valentine” advertised on syndicated programs such as “Moesha” and “Home Improvement.” It listed 14 examples of R-rated films advertised on network shows with large teen audiences, including “That ‘70s Show” and “The Simpsons.”

The FTC singled out Disney and Fox for violating “at least the spirit” of pledges made by top executives last year. The report took Disney to task for running ads for R-rated “Dracula 2000”--distributed by Dimension Films, a division of Disney-owned Miramax--on the Fox Broadcasting Network between 8 and 9 p.m. after vowing not to show such advertisements during those hours on its ABC television network.

The report said Fox also “apparently breached” its vow not to air commercials for R-rated movies during family programming by accepting the “Dracula 2000” ads on “That ‘70s Show,” “The Simpsons” and “Titus.”

However, these shows are not off limits to R-rated movie advertising under voluntary guidelines adopted by the movie studios last year. The studios agreed to steer clear of shows 35% or more of whose viewers are younger than 18. The FTC report expressed concern that the 35% threshold was too high to be effective.

As for the video game industry, the FTC charged that electronic game companies were still violating their own policy by advertising games rated M for mature in publications with large teen readership.

The Interactive Digital Software Assn. contended that would effectively put some of its members out of business.