Blowing The Whistle On XB1M13, MS And Machinima's Covert Xbox One Campaign

iGR: "First off, we didn’t think this deal would become a scandal, not by a long shot. We were provided an email by a YouTube personality that didn’t see fit to sign the agreement and take part in the XB1M13 promo. Much like the party that provided us the email, we weren’t making it public maliciously."

[xHeavYx]

It seems that MS can't get a break, PR disaster after PR disaster.
The only thing I don't agree with is people getting money WITHOUT saying they were paid to express a biased opinion

[Snookies12]

Yeah, it's not a matter of MS paying people for this. They kinda need some good press after all the PR disasters they've had (as the X1 really isn't a bad console). It's just the way that it's being handled that bugs me. Though, I know this kind of thing happens all the time with game developers, YouTubers, 'professional' reviewers, etc.

[MasterCornholio]

In some places what they are doing is illegal because microsoft obligates some Youtubers to keep their relationship a secret. They have to let their viewers know that they are being sponsored by Microsoft and in my cases they are not doing that.

[sAVAge_bEaST]

Yes the non-disclosure of it all. So underhanded and shady,. If they were able to say, -"This is a deal some of us have with Microsoft"- fine fair game.....

But to keep it hidden, to try and make it seem organic... repulsive.

No wonder Astro Turfers, kept saying"everyone on Youtube" over the weekend.

[MightyNoX]

Pretty much. Advertising is okay but when you influence people's opinions (not allowed to say bad things about your product) and then cover up the payment, it stops being a promotion becomes something far more shady...

[Gh05t]

What your talking about is a review. I don't know any company that would pay for a negative advertising.

[PSjesus]

Their Damage Control department do more damage than control....but hey MS is 250 Billion dollar company they don't give a sh@t

[pompombrum]

Meh, I expected it was happening anyway. It's such a competitive market with so much on the line that these sort of things should be expected. It doesn't make it right but it doesn't really hurt me as a gamer in any way.

[nategrigs]

The long term impact of these practices should concern you as a gamer.

Lets take an extreme hypothetical:

MS pays IGN to write a positive review for fighter within. This encourages casuals to buy the game. Suddenly MS has a choice to make for future games. Should they buy off reviews, which sells games and makes them money; Or do they invest that money and make great games, which might sell?

Sweeping problems under the rug and presenting ads as unbiased opinions reduce the incentive to make great games. I don't like where that road leads

[JohnnyTower]

So now this is a scandal? Im sure companies do this all the time. Not just gaming companies either. Im not saying its right or wrong, but I doubt this will make the nightly news.

[DragonKnight]

The thing is is that this is paid endorsements. Microsoft is an American company, and thus they should be aware of the FTC regulations about paid endorsements.

"If there is a direct link between the company that is paying the endorsement and the person endorsing the product, full disclosure of said partnership is required"

That's just a paraphrase of the actual FTC regulation pertaining to paid endorsements. What Microsoft did was illegal in the United States of America and it still applies to online endorsements, whether written or recorded, and Microsoft COULD get into trouble for this.

[EBTpickle]

Well, it's on Huff Post

http://www.huffingtonpost.c...

Linking into our original article about the emails sent.

[DanielGearSolid]

If it's so commonplace the clause to hide the fact that its a paid promotion wouldn't be there

[HurstDarkStar]

Isn't this called bribery? They're basically paying for positive opinions.

[jgrigs09]

No?

[PSjesus]

yes it is and unlike advertisement (which some low IQ Xboners believe it's the same)here you shouldn't know that M$ buying their opinion

[Gh05t]

No! They had to state they were being payed for the videos by Machinima.

Machinima is paying for the affiliates videos. MS is paying Machinima not the affiliates. This is strait up advertising and again I'm pretty sure I read they had to state they were getting paid by Machinima for the video.

[CocoWolfie]

i feel like they got what they deserved.

[TheoreticalParticle]

Let's not forget here... Microsoft is kicking down the youtube guys a couple bucks per 1,000 hits.

But they're forking over a FUCKTON more to Machinima.

One side is getting off pretty scot-free here, and that's some straight-up bullshit.

[Gh05t]

Maybe I missed something and someone can try to explain this to me but I see zero foul play here.

It was a requirement to apply a monetary compensation for the video.

The affiliates were getting paid by machinima.

The NDA was that they could not say MS was paying for it... which technically they were not. MS was paying machinima to have thier affiliates promote the system and games.

I guess I just don't get how this all falls into place based on the fact it's cut up over 3 articles.

Anyways machinema was getting payed to advertise (who would pay for a negative ad?). Machinima payed it's affiliates to carry this out who were told to explicitly state compensation.

I will believe this is shady If Machinima actually paid out money to someone who didn't say they were getting paid. Otherwise to me this seems like a standard advertising campaign.

[SynestheticRoar]

Yes give me a check. I will only say X1 sucks a little bit.

[mrpsychoticstalker]

This has been done for,a long time. Sony has done it with Sony Ericson

http://stealthmarktg.blogsp...
http://nfinkbeiner.wordpres...

Think the above doesn’t happen? Think again. This is the world of stealth marketing and its use by major companies is growing very rapidly as you, the consumer, learn to tune-out traditional media.