Hate Speech on Social Media Linked to Consumer Sentiment Drop, Must-Carry Laws Pose Economic Risks
A recent study reveals a concerning link between hate speech on social media and a decline in consumer sentiment towards these platforms. Meanwhile, U.S. policymakers are debating 'must-carry' laws that could potentially increase hate speech visibility, raising alarms about economic impacts on both platforms and advertisers.
Research indicates that hate speech on social media is associated with a drop in consumer sentiment towards the platforms hosting it. This could spell trouble for social media sites, as well as brands advertising on them, as hate speech can also negatively impact brand perception and consumer engagement with ads.
Must-carry policies, currently under consideration by U.S. policymakers, could exacerbate this issue. These policies would require digital intermediaries to publish all legal third-party content, including hate speech. Currently prohibited and appearing at low frequencies, an increase in hate speech visibility could impose significant economic costs on social media services and their advertisers. Florida and Texas have already passed such laws, though they are currently on hold.
If hate speech becomes more common on social media feeds, it could decrease the overall value of advertisements on these services. This is a worrying prospect for both social media platforms and the brands that advertise on them.
The potential increase in hate speech visibility due to must-carry laws could have serious economic implications for social media services and their advertisers. As U.S. policymakers consider these laws, they must weigh the potential benefits against the risks to consumer sentiment, brand perception, and the digital economy.
