January 3, 2024

The New York Times Sues OpenAI and Microsoft Over Copyright Infringement

The battle between news publishers and AI companies is intensifying. The New York Times is suing OpenAI and Microsoft for copyright infringement, accusing the companies of unlawfully using published content to develop and operate generative AI tools. The Times has retained the litigation firm Susman Godfrey, which represented Dominion Voting Systems in its successful defamation lawsuit against Fox News last year.   

A number of pending cases will soon set precedent in the uncertain area of AI and copyrighted material. AI companies have argued that material used to train large language models are covered by “fair use,” while publishers claim copyrighted content is protected. Some news publishers have entered into agreements with AI firms to feature news, while others have made deals that allow AI chatbots to train on their content.

Study Shows Social Media Companies Made Billions in Advertising Revenue from Minors’ Use

New research on the impact of social media use among young people is drawing increased attention. A study from Harvard found that social media companies made more than $11 billion last year in advertising revenue from users under 18 years old. Policymakers have begun pressuring social media companies to provide increased protection for minors.  

Financial disclosures show significant losses for X, formerly Twitter, one year after Elon Musk’s acquisition. The social media company has lost nearly three-quarters of its worth, according to a new valuation from Fidelity’s Blue Chip Growth Fund. Ongoing controversies have plagued the platform as competitors have seized on the company’s missteps.

Misinformation Researchers Face Challenges as Election Season Accelerates

This election season has fact checkers and misinformation researchers nervous. Concerns are mounting that a hyper-polarized political climate will deter efforts to expose falsehoods, as some researchers have already faced public attacks from elected officials. AI experts are sounding the alarm over efforts to manipulate voters through artificially generated content, as seen in recent Slovakia elections and numerous campaigns the last couple years.   

Research suggests audiences respond better to fact checking that explains misinformation and provides alternative information. Beyond falsehoods, the problem of misinformation has proliferated due to steep declines in trust across all institutions.

Sequence Summaries: Copyright Conflict, Social Studies, and Research Reluctance

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December 27, 2023

Media Shakeups, AI, and Declining Trust Dominated 2023

This year brought seismic changes to the media landscape, from the fallout of cable news shakeups to record staff cuts in newsrooms across the country. Research consistently showed declining levels of trust and an erosion of institutional credibility.

Regulation of social media ramped up in 2023 with Montana becoming the first state to ban TikTok, though recent litigation has halted the impending order. Europe elevated oversight of tech companies with its new Digital Services Act and the upcoming Artificial Intelligence Act, which will begin to rein in advancing AI.

More Washington Post Workers Organize as Newspaper Exceeds Buyouts

The Washington Post is reeling from a protracted labor dispute and controversies surrounding its incoming CEO. The Post recently exceeded its goal of 240 buyouts, and has moved to retain some employees with financial incentives. Nearly three-quarters of eligible Washington Post employees are union members, double from 2017.

Fewer employees are planning to stay with their current employer, according to new research that found 39% of workers who have been with a company for less than six months plan to leave within the next year.

U.S. Elections and Sustained Media Uncertainty Bring Communications Challenges in 2024

Executive-level communicators are anticipating a challenging year ahead with the 2024 U.S. elections approaching. A survey of senior communications staff from Fortune 1,000 companies cited concerns around race and equity, specifically the uncertainty of DEI programs in the wake of the Supreme Court’s ruling on affirmative action.

Despite signs of a stabilizing economy, experts are projecting sustained uncertainty for media and telecommunication companies in 2024. PR practitioners are looking ahead to the next year with a renewed focus on authenticity, evaluation, and in-person interaction. More corporate reputations are being shaped by social media algorithms than traditional media relations, requiring additional investment.

Sequence Summaries: 2023 Recap, Post Problems, and Looking Ahead

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December 20, 2023

Media Mergers, Major Hacks, and Monopolies

AI powerhouse OpenAI has struck a deal with global news publisher Axel Springer to bring news content to ChatGPT. Similar to an agreement made earlier this year with the Associated Press, OpenAI will be able to train its large language models on the news publisher’s data. Progressive magazine Mother Jones is merging with the nonprofit Center for Investigative Reporting to form a new nonprofit news outlet.

Google disclosed the details of a $700 million payout it’s making as a result of a class action lawsuit that determined the company had maintained a monopoly of its Google Play store on Android phones. The tech giant also lost an antitrust lawsuit brought on by Epic Games. Nearly 36 million users’ data has been compromised in a major hack of Xfinity, Comcast’s cable television and Internet division.

More Businesses Moving Away from Remote Work

While remote work remains popular among employees, more businesses are moving away from it. A new survey showed that only 1% of businesses are fully remote, sharply down from a year ago. Nearly 90% of businesses have implemented an in-office mandate, with 80% requiring at least three-days-a-week attendance.

Overall, PR agencies are much less optimistic about growth and revenue than a year ago. According to a new study, just over one-half of firms surveyed expect 2023 to yield higher revenues than the year before—down from 88% a year ago.

Health and Political Misinformation Remain Problematic for Social Media

New data details the long-lasting impact the COVID-19 pandemic has had on health information. A survey of U.S. adults from October 2023 were less likely to view vaccines as safe than in 2021. Former Google CEO Eric Schmidt is calling for social media companies to verify human users and implement reputation-based functionality to stem the tide of political misinformation. 

A new study suggests fact-checking by professional organizations on social media is less effective at preventing misinformation than algorithmic fact-checkers—when content is flagged as suspicious by the algorithm. Sports Illustrated is under fire for using AI-generated authors to write articles.

Sequence Summaries: Data Deals, Work Trends, and Misinformation Mentions

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December 13, 2023

Google Elevates AI Game while Europe Approaches Artificial Intelligence Act

The Silicon Valley giant responsible for developing much of today’s machine learning technology is leveling up its AI game. Google has launched Gemini, a generative AI large language model that will be integrated into nearly all of the company’s products. The technology powers Google’s chatbot, Bard, a direct competitor to OpenAI’s ChatGPT. So far, performance has fallen short of ChatGPT, though an upgrade is due next year.

A global race to advance AI technology is being tempered by forthcoming regulatory pressure. Europe is on the precipice of enacting the Artificial Intelligence Act—sweeping AI regulations that will be voted on by the European Parliament early next year. Building on the recently implemented Digital Services Act, the legislation provides protections for citizens from E.U. countries and significantly penalizes companies who violate rules.

X’s Mistakes Open Opportunities for Meta’s Threads

From free speech to anxious advertisers, social media platforms are confronting seemingly endless controversies. X owner Elon Musk shocked audiences by vulgarly admonishing potential advertisers at a public forum. The platform formerly known as Twitter has significantly struggled to recover lost revenue from departed advertisers.

Meta’s Threads is seizing on X’s missteps. Recent data show the social media newcomer gaining ground by passing X in new app downloads. Threads has focused on improving user experience with new features like tagging and optimized search functionality. Both X and Meta are actively implementing AI features into platforms.     

Job Cuts Continue as Changing Productivity Keeps Economy Afloat

The news industry has shed nearly 3,000 jobs in 2023, more cuts than the previous two years combined. This year also saw more than 20,000 jobs lost across the entire media sector. Digital media companies were particularly hit hard, from the closure of Buzzfeed to mass layoffs across the industry. Following steep staff cuts, Spotify’s CFO Paul Vogel is leaving the company. Seattle-based online retailer Zulily is closing down amid declines in revenue and job cuts.

Despite record tech and media layoffs, economic productivity is keeping pace in part due to emerging AI technology that’s supplanted human labor. Changing productivity is altering the business world with increasing companies considering shorter work weeks. Growing numbers of employers are relying less on college degrees and evaluating skills-based metrics for recruitment.

Sequence Summaries: AI Update, Social Snapshot, and Productivity Picture

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December 6, 2023

Declining Newsrooms and Digital Changes Drive Downsizing

A tumultuous year for media continues with more downsizing across the digital landscape. Audio streamer Spotify is cutting almost 20% of its workforce after CEO Daniel Ek said the company had invested too many resources from 2021-2022. Citing a shrinking television audience, BBC News is eliminating 127 newsroom positions to make space for nearly 150 digital-focused roles.

The decline of local newsrooms is accelerating as social media shuffles. This year in Ohio, newspaper publisher Gannett has shut down 16 community newspapers—a growing trend across the country. More news outlets are turning to Reddit to share news as increasing numbers of users and advertisers move away from X. A federal judge has halted legislation in Montana intended to ban TikTok—the law was to go into effect January 1, but will now be litigated in court.   

Leaders Looking for Executive-Level Communicators
 
Good communications have never been more important for executives. From the collapse of Silicon Valley Bank to OpenAI’s management mishaps, companies have been marred by poor communications. To better protect reputation, more corporate boards are recognizing the role of executive-level communicators. As executives reevaluate communications, businesses should exercise caution and prioritize authenticity when commenting on sensitive issues.

Muck Rack has shared insights from its annual State of PR and Marketing Leadership Report—new data show the continued consolidation of marketing and public relations leadership roles in communications. Findings also report a rising emphasis on internal communications across business sectors.

Coalitions and Governments Pressure Platforms to Counter Misinformation

From climate change to political campaigns, misinformation is rapidly spreading across social media. The Climate Action Against Disinformation Coalition commissioned research that showed false narratives quicky spread across X about recent flooding in Latin America. Nearly 5,000 Facebook accounts have been shut down by Meta—the fake social media profiles had shared polarizing political content to influence upcoming U.S. elections.  

Platforms and policies are determining how information flows. Canada’s Online News Act aims to mitigate misinformation by protecting news media organizations. Google and the federal government of Canada have reached an agreement that will allow Google to continue sharing Canadian news in exchange for annual payments to news companies.

Sequence Summaries: Digital Downsize, Executive Insight, and Misinformation Monitoring

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November 29, 2023

AI Advancements and Leadership Shifts Drive Tech Changes

Tech companies are refining products and services as shifts in leadership persist. Following Sam Altman’s return to OpenAI, Microsoft is no longer forming a new AI research team—the company had hired Altman after his short-lived dismissal. Some marketing leaders are urging X CEO Linda Yaccarino to resign after recent controversies have derailed the company’s efforts to lure back advertisers.

Large tech firms are optimizing AI chatbots for commercial and consumer use. Amazon has unveiled a new chatbot for companies to leverage generative AI in the workplace—the company has accelerated its AI efforts to catch up with Microsoft and Google. Microsoft is rebranding its chatbot, renaming Bing Chat to Copilot, to better compete with OpenAI’s ChatGPT.

Remote Work Remains Popular Despite Growing Resistance

While remote work remains in demand across the country, some companies are pushing back. Amazon announced internally that workers not adhering to the company’s in-office mandate may not be eligible for promotion. The online retail giant has faced significant worker resistance to its return-to-office policies. New data show U.S. employees are spending an average of two days in the office each week.

Changing workplace norms are impacting expectations about paid time off. The rise of remote work could be contributing to increased pressure on employees to remain available on vacation. Fewer than 40% of workers feel they have employers who respect time off, according to a new survey by the American Psychological Association.

Digital and Media Companies Continue Cutbacks

Despite a stabilizing global economy, many digital and media companies are cutting back. In a year of record media-related job cuts, more are on the way. The Washington Post is looking to cut 240 newsroom positions—the newspaper has already accepted 120 voluntary buyouts. Vice Media Group, G/O Media, and CNBC have all recently laid off editorial staff.

The continued growth of AI is leading to additional layoffs across the tech sector. TikTok parent company ByteDance is downsizing its gaming division and laying off hundreds of employees. Telecommunications titan Qualcomm is shedding 1,000 jobs in California. The Bay Area has lost more than 30,000 tech-related jobs since 2022.

Sequence Summaries: Tech Changes, Remote Resistance, and Latest Layoffs

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November 22, 2023

Sam Altman Reinstated as OpenAI CEO  

The AI industry is in upheaval after significant leadership shakeups. OpenAI—the behemoth behind ChatGPT—dismissed its CEO Sam Altman in a move that shocked investors. OpenAI’s largest investor, Microsoft, quickly hired Altman and OpenAI Co-Founder Greg Brockman to lead a new advanced AI research team. Days after his firing, and following intense backlash from stakeholders, Altman agreed to re-join OpenAI with a new board of directors.

The use of AI in advertising and public relations is accelerating amid ethical concerns. Generative AI has already been used for political ads, even as more social media companies are requiring disclosure of the emerging technology. To help communicators better leverage AI, the Public Relations Society of America has released guidelines around the ethical use of AI in PR.

Solutions Journalism Elevates Interest in Climate News

New research is shedding light on people’s views and consumption of news. Fewer Americans believe that science has a positive effect on society, and public trust of scientists has dropped significantly since the COVID-19 pandemic. A global study conducted by the Reuters Institute and Oxford University suggest people are more likely to engage in climate change news that incorporates solutions in coverage.

As more Americans get their news from social media, insights are emerging about platform preferences. According to the Pew Research Center, 30% percent of Americans regularly consume news on Facebook, followed by YouTube (26%) and Instagram (16%). The number of U.S. adults who regularly get news from TikTok has more than quadrupled from 3% in 2020 to 16% in 2023.

More Communities Lack Local News

Across the U.S., communities are facing a dearth of local news outlets. A new report from the Medill School of Journalism revealed that more than 130 newspapers closed in 2023—a rate of 2.5 per week. More than 200 counties in the U.S. are ‘news deserts’—areas that lack a single local newspaper. In Seattle, Sinclair Broadcast Group announced it will end its Univision affiliation, which provided the region’s only locally produced Spanish-language TV newscast.

Despite troubling trends for local news, there are some signs of revival. Some larger state newspapers, such as South Carolina’s The Post and Courier, are helping to fund smaller state newspapers. More newspapers are embracing nonprofit models as philanthropic efforts to fund local news have gained momentum. In Washington state, a new state-funded initiative will connect early-career reporters with news outlets to expand coverage.

Sequence Summaries: AI Upheaval, Public Polling, and News Scarcity

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November 15, 2023

A Changing PR Landscape Means New Challenges and Opportunities

New research indicates PR agencies have had difficulty acquiring new business in 2023. An extensive global survey found that only half of communications firms that increased revenue last year have done so again in 2023. As more agencies implement generative AI into services and client counsel, some PR pros are pushing back and emphasizing a human-centered approach to communications.

Communicators should prepare for even more changes on the horizon. These will likely include a sustained hybrid work schedule and more opportunities to drive personalized brand experiences. While office workers are more interested in a four-day workweek than ever before, research suggests the benefits of a reduced week would likely not reach all workers.

Educators Look to Media Literacy as Regulators Tackle Fake Reviews

Efforts to teach media literacy are gaining momentum. California Gov. Gavin Newsom has signed new legislation requiring media literacy implementation for all K-12 students. Rather than a standalone class, media literacy will be taught across English language arts, science, math, history, and social studies. Across the country, more educators are finding ways to discuss misinformation as increasing numbers of students use social media for finding news content.   

Both tech and government organizations are taking aim at the epidemic of online fake reviews. A new coalition of online platforms, including Amazon and Expedia, will share information to prevent review fraud. Identifying and neutralizing fake reviews has become even more difficult with the proliferation of AI chatbots.

Amid Political Pressure, Organizations Adapt New Policies

As the political season ramps up, media organizations are feeling increased pressure. Meta recently announced a new policy requiring political advertisers to disclose the use of AI in content. The American Press Institute has announced a partnership with the Associated Press to share resources and provide local news outlets support for covering the 2024 elections.

The latest news coverage suggests Americans are deeply divided over the Israel-Hamas war. Social media has amplified misinformation, while journalists covering the conflict are facing the deadliest press climate in decades. Publishing giant Hearst announced a new policy that restricts employees’ online commentary of controversial issues, even on personal social media accounts.

Sequence Summaries: PR Progress, Media Literacy, and Political Pressure

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November 8, 2023

Courts and Lawmakers Consider Limits on Social Media Speech

The U.S. Supreme Court is weighing a number of cases that have significant implications for speech on social media platforms. Cases in Michigan and California consider whether public officials can block followers who post critical comments, while the constitutionality of new content moderation laws in Texas and Florida are also being assessed. Rulings are expected by June 2024.

Nearly two decades after the rise of social media, U.S. lawmakers have just begun to assess the long-term health effects on children. Senators recently held a hearing about the impact of social media on America’s teen mental health crisis. Facebook owner Meta has joined a new multi-platform initiative to track and prevent child abuse online. Recent reports indicate one-third of fines administered under Europe’s General Data Protection Regulation law are linked to child data protection.

New Hires, Cutbacks, and Structures Emerge in Shifting Media Landscape

Media groups are making major moves as the industry adapts to shifting audience interests. The Washington Post has selected Will Lewis, former head of the Wall Street Journal, as its new CEO. The Post is hoping Lewis’ business background will boost the paper’s bottom line after a down year of cutbacks and reduced revenue. The New York Times has increased its revenue by 9.3% and surpassed 10 million subscribers, driven by a surge in digital subscribers.

Media conglomerate Condé Nast is cutting 5% of its staff amid a drop in audience engagement across its digital platforms. Following a newfound nonprofit interest in news, The Colorado Sun is donating its shares of state weekly newspapers to the National Trust for Local News. Journalists at Forbes are expressing concern over the publication’s recent acquisition by a Russian business tycoon, citing increased skepticism from sources hesitant to share sensitive information.

News Trust Continues Downward Decline as Young People Look to Influencers for Info

Levels of trust in news have declined across the globe. In-depth research examining audiences from India, Brazil, the U.S., and the U.K. show widespread concern about inaccuracy and bias in journalism. While news skepticism is common, data also indicate audiences are open to trust-building measures to increase credibility.

More audiences are looking to social media for news and information. A new Pew Research Center survey show U.S. adults under 30 now trust information from social media nearly as much as traditional national news outlets. Young people are increasingly relying on social media—surveys have shown a growing number of Gen Z prefer receiving news from influencers, not reporters.

Sequence Summaries: Social Speech, Media Movement, and Opinion Info

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November 1, 2023

White House Executive Order Aims to Rein in AI

Efforts to rein in AI are accelerating. The White House has pushed forward a framework for AI regulation with an executive order that establishes federal oversight of content and development. While the U.S. Congress has signaled legislative action, the country lags behind Europe’s expansive AI regulatory measures.

Organizations can get ahead of AI regulation by developing proprietary policies. While more than half of U.S. workers have used generative AI tools like ChatGPT, two-thirds of companies do not have organizational AI policies, according to a new study. PR firms should embed strong ethical AI boundaries to differentiate human and machine labor. 

Social Media Platforms Divided on News Necessity

Social media companies are sending mixed messages around news. While Meta’s platforms have increasingly divested from news content, LinkedIn has expanded efforts. Now X, formerly Twitter, is planning to launch a new wire service called XWire, a press release distribution product.

In the age of personalized advertising and precise paid media, people can lose sight of PR’s unique value. Despite misconceptions, the power of persuasion in earned media still delivers clients the most credibility. And although fewer Americans overall are following the news, studies show young people are engaging with news media at higher rates than previously thought.

Governments Take Action to Combat Disinformation

Misinformation has become rampant across an increasingly fragmented digital landscape, with many social media users unknowingly sharing false facts. More dangerous is disinformation—the intentional creation and dissemination of propaganda to advance political objectives. Now, governing bodies like the E.U. are requiring social media companies to remove disinformation or face significant fines.

Governments are also taking proactive steps to prevent disinformation before it takes shape. The U.S. government is ramping up efforts to combat disinformation by disclosing global influence campaigns. The Canadian government is seeking proposals from civil society organizations and researchers to combat disinformation through its Digital Citizen Initiative.

Sequence Summaries: AI Orders, News Necessities, and Disinfo Dilemma

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