Advertising practices on Facebook potentially undermine democratic principles, yet regulatory bodies hold various avenues for intervention

In the ever-evolving landscape of the creative economy, conversations are being held between the Global North and South to challenge and reorder the status quo, led by the Global Creative Economy Council. The council's new chair, Marta Foresti, is at the helm of these discussions.

Meanwhile, in the UK, the creative industries are under scrutiny. Professor Nick Wilson's work highlights the Equity Gap in Britain's Creative Industries, while the outdated election law on social media usage remains unchanged, with reform proposals gathering dust in the Cabinet Office.

Across the pond, Facebook's data practices have come under fire. Regulatory measures in Germany, such as those enforced by the Federal Network Agency, aim to align the implementation of the EU AI Act with existing EU laws like the Digital Services Act, to foster innovation without hindering it. The ongoing debate revolves around Facebook's request for access to private smartphone photos for AI processing, raising concerns over compliance with the GDPR's informed consent and transparency principles.

Facebook's advertising system is another area of interest. The platform considers not only the dollar value of each bid but also the quality of the clickbait associated with each ad. The company has been accused of data transfer for value, a claim it denies. However, emails from a court case in California revealed otherwise, leading the House of Commons DCMS Select Committee to state this in 2019.

The Irish Data Protection Commissioner is investigating the practice of micro-targeting, which has been found to undermine the concept of a public sphere and open up opportunities for discriminatory advertising. The German competition authority, the Bundeskartellamt, ruled that Facebook's data collection practices were illegal in 2019.

In the realm of advertising, Facebook allows advertisers to micro-target audiences based on 98 or so characteristics, including demographics, location, interests, and behaviours. This ability to target users by microscopic demographic segments makes it appealing to advertisers of all kinds.

The creative industries are not left out of the digital revolution. The Creative Industries Sector Plan has made several key sector-wide announcements, and the co-location of the Creative Industries with Other Industrial Strategy Priority Sectors is being discussed by Dr Josh Siepel.

Professor Dave O'Brien, a Professor of Cultural and Creative Industries at the University of Manchester, and Bernard Hay and Emily Hopkins, from the Creative PEC, have weighed in on the implications of the 2025 Spending Review for the creative industries.

As elections approach, political parties are ramping up their spending on Facebook and Instagram. The UK general election tomorrow will likely see increased digital campaigning.

This article is authored by Professor Leighton Andrews, Professor of Practice in Public Service Leadership and Innovation in Cardiff Business School, and falls under the themes of AI, Intellectual Property and Regulation, Business Models and Access to Finance, Skills, Jobs and Education, Geography of the Creative Industries, and Research by Themes.

Advertising practices on Facebook potentially undermine democratic principles, yet regulatory bodies hold various avenues for intervention