Page 9 - SCBJ-201611
P. 9
November 2016

Photo from www.bing.com

Implications for Platform Operators

Platform operators are given the responsibility to monitor the third party advertisements they post and can be subject to the same
or steeper penalties that advertisers face in cases of violation. Under the regulation, advertisements must be clearly labeled so that
users can differentiate between advertising and non-advertising content. Similarly, search engines are required to differentiate clearly
between paid and organic search results.

If a third party wishes to advertise on an online platform, the
platform operator is responsible for verifying the identity of the
advertiser and removing illegal advertisements. This will result
in notable revenue loss for search engine providers like Baidu,
which are legally required to reject illegal advertisements and their
accompanying revenues. The regulation also requires that platform
operators employ an advertisement review team to examine
both the contents of the advertising and the qualifications of the
advertiser.

This article was first published on com/news/2016/09/06/>

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