Philippines regulators scroll past online gambling ads on social media

RONALD Gustilo, executive director of non-profit organisation Digital Pinoys, believes social media plays a role in today’s online gambling issue. He said it’s “one of the factors that has not been cited as a major problem” when “it should be”.

While the government has temporarily suspended access to online gambling platforms via e-wallets and super apps, ads promoting these sites remain visible on social media. They appear on Meta, Google ads, YouTube, Rakuten Viber, and X, Tech in Asia staff from the Philippines have observed in the past two weeks.

It’s a glaring oversight, especially when two out of 10 Filipino bettors say they learned about online gambling platforms on social media. That’s based on a survey by Manila-based consulting firm The Fourth Wall, which asked 1,250 Filipino online gamblers about the factors influencing their betting habits.

Only TikTok temporarily paused real-money gambling advertising in the Philippines, citing “ongoing regulatory developments”.

As laws meant to regulate online gambling remain pending, social media platforms appear to be in a wait-and-see mode before making any more moves to foil their advertising plays.

Gambling ads hop onto social media after ban

Philippine-based users scrolling through Facebook or Instagram are likely to see an ad from an online gambling platform. On X, the first one they usually come across is a video commercial from the online betting app Casino Plus.

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Ads shown on these platforms span from static images to short videos, with placement ranging from pop-ups to listings.

“With their ads leaving GCash and Maya, it’s only expected that they move on social media,” a senior strategist at one of the country’s top ad agencies, who agreed to speak on the condition of anonymity, told Tech in Asia. “The goal is still to be present everywhere.”

The ad strategist estimates that these firms allocate one million pesos (S$22,683) to 10 million pesos monthly for their social media campaigns.

Earlier this year, Google revised its ad policy to allow ads for online casino games, lotteries, sweepstakes, bingo, and sports betting on Google and YouTube in the Philippines, as long as they are from a “state-licensed or state-run entity”.

A Google spokesperson stresses to Tech in Asia that the tech giant “strictly [enforces] policies on gambling ads”.

“We only allow these ads in countries where they are legally permitted and always require advertisers to be certified,” said the spokesperson.

Likewise, Meta and X still allow online gambling ads, as long as promoters seek authorisation from them.

Meta and Google also clarify in their terms and conditions that these ads are not targeted at users under 18. Tech in Asia reached out to Meta for comments, but did not receive a response.

X does not have the same policy, based on publicly available information.

Rakuten Viber’s ads may have a more “personal” touch: They show up as messages to select users’ business inboxes – a separate folder on accounts where ads are shown. A message usually contains a link pointing to an online gambling site.

The messaging app – one of the most widely used in the country, with more than 40 million users – clarifies that it neither hosts nor offers features that allow online gambling on the platform.

“Our policies allow gambling-related content only where permitted by local laws and regulations,” Rakuten Viber told Tech in Asia. “We are engaging with the relevant authorities and will align our approach with their forthcoming guidance.”

To be clear, the Philippine government has yet to issue regulations on ads shown online, other than in e-wallets or on fintech platforms.

In August, the Department of Information and Communications Technology (DICT), the government agency overseeing social media platforms, publicly commended TikTok’s proactive move to pause gambling ads on its app.

“This shows that even big global platforms are willing to coordinate with our advocacy [to keep a safe digital environment],” DICT Secretary Henry Aguda wrote in a Facebook post.

The agency has yet to announce whether it has asked other social media platforms to do the same. Tech in Asia didn’t receive a response when it asked DICT for comments.

Government agencies still soft on online gambling

Gustilo of Digital Pinoys believes a law is needed to effectively eliminate online gambling ads for good.

“Even when the DICT issues an order today, that could be reversed if a new secretary takes over the agency,” he explained. “A law that would strictly regulate online gambling ads will be the best way moving forward.”

Senator Alan Peter Cayetano, a member of the Senate majority bloc, proposed a measure in July that seeks to prohibit online gambling ads across all platforms. He likened the proposal to how the Philippines regulates tobacco: Cigarettes are still sold in the country, but all forms of advertising are strictly prohibited in mass media.

Despite all these proposed measures, it’s apparent that the Philippine government is adopting a more lenient approach to online gambling, unlike other countries in Asia.

In India, the government passed a law that immediately banned all forms of real-money online gaming and their advertising on any platform. This followed reports that citizens had lost about US$2.3 billion in online gambling.

Meanwhile, the Philippine Amusement and Gaming Authority Corporation (PAGCOR) sought only a nationwide ban on outdoor ads for online gambling beginning Aug 15. Previously, such ads could be seen everywhere – from building billboards to buses.

When asked whether it will issue a similar directive for online gambling ads, PAGCOR told Tech in Asia that it already signed a memorandum of understanding (MOU) with the Ad Standards Council (ASC) to “review” these promotions.

“All gambling-related ads shall now undergo ASC review and approval before public release,” PAGCOR shared in a statement.

Such a soft stance is to be expected from the government, said the ad strategist. After all, the crackdown on tobacco ads took years before it was institutionalised, they added.

Still, the ad strategist believes ASC will be proactive in regulating gambling ads, noting that the regulatory body is “quite stringent” in implementing its policies.

ASC’s guidebook indicates that gambling advertisers must prominently include this tagline in static and radio ads from gambling companies: “Keep it fun. Game responsibly.”

It also said that a gambling ad should “not be directed to persons below 21 years old” and “must neither catch the attention nor give interest to viewing minors”.

ASC did not respond to Tech in Asia’s queries about its MOU with PAGCOR.

With regulation still in limbo, stakeholders are not keeping quiet in their calls for stricter measures against online gambling ads.

As shared by Dave Centeno, a professor at the Verata School of Business at the University of the Philippines, online ads could be more aggressive than those seen offline.

“Billboard ads are more passive in nature, whereas ads seen online can be targeted towards the specific market you want to cater to,” he explained.

Gustilo of Digital Pinoys said that his organisation is already in talks with DICT and select members of Congress for the formulation of a law that will regulate gambling ads online.

With the government budget hearings for the coming year expected to commence soon, he believes lawmakers will once again be privy to regulators’ next steps on the matter.

“I’m optimistic that a policy will be passed soon,” Gustilo said. “Whether that is a total ban or mere regulation, that remains to be seen.” TECH IN ASIA

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