Ad Tech Privacy Watch

Colorado AI law excludes marketing/advertising. FTC policy statement on AI accuracy suppression creates tension with state laws. State AGs use UDAP for AI. NAI guidance released. Ninth Circuit Perplexity ruling creates CFAA liability for AI agents. CDD report on AI persuasion pipeline targeting children adds regulatory risk. New: New York's synthetic performer disclosure law now in effect with two complaints filed, requiring transparency for AI-generated models in ads; unclear 'conspicuous' standard creates compliance ambiguity; post-mortem publicity rights expansion adds layer for using deceased personalities in ads. FTC proposed policy statement on AI output accuracy creates direct compliance conflict with state AI laws. Colorado proposed AI rules explicitly exclude advertising/marketing from covered ADMT, with comment period open until Sept 4. Colorado published draft ADMT regulations confirming exclusion; comment period open, October hearing scheduled. IAB updated AI disclosure recommendations to address NY, CA, South Korea, and EU laws, providing targeted disclosure guidance. OpenAI updates privacy policy for ads, signaling compliance posture as it enters ad tech with ChatGPT ads and LiveRamp partnership. ADMT roundup: employment-focused but CPPA rules cover consumer significant decisions; Colorado and Connecticut laws add layers. New: AI agents (inbound browser agents bypassing consent banners, internal copilots acting on CRM records) create consent governance challenges; AEPD guidance confirms deploying controller bears compliance burden, challenging existing CMP assumptions. New: 'Operation AI Comply' two-year update covers FTC, SEC, and NAD enforcement against AI washing, with B2B claims and 'means and instrumentalities' doctrine directly relevant to ad tech vendors marketing AI tools; practical mitigation steps provided. New: Google's mandatory AI ad labels create disclosure gap for externally produced AI creative, adding workflow risk for enterprise teams. Publisher pushback against AI search traffic erosion could reshape content supply and targeting signals. New: FTC targets 'suppression of accuracy' in AI systems, creating a compliance conundrum for ad tech using AI for targeting/personalization; Holland & Knight analysis confirms dual FTC approach—curbing overbroad AI-tool liability while policing deceptive claims, with the Rytr case illustrating boundaries. New: FTC Chair Ferguson sees AI antitrust risks upstream (chips, energy, construction), not model competition; consumer protection stance on false claims aligns with 'Operation AI Comply' signals. **Latest: Colorado AG released proposed ADMT rules filling key gaps on 'materially influence' with two alternative standards, introducing midstream developer obligations, rebuttable presumption framework, and multiparty vendor questions; comment deadline Oct 26, 2026. The exclusion of advertising/marketing from covered ADMT remains. New: Texas AG candidate Johnson unveils 'AI audit' plan, signaling potential shift in enforcement priorities—moving beyond Paxton's selective tech lawsuits to proactive legislative recommendations. For ad tech compliance, this means Texas could become even more aggressive on AI-driven ad targeting and employment decisions.**