Ad industry calls for better fraud prevention

PETALING JAYA: Advertising and creative agency leaders are calling for the relevant authorities to step up efforts to curb potential abuses and scams with the advent of artificial intelligence (AI) seeping fast into many industries.

They stressed there is a need for responsible Al implementation as well as regulations, guidelines and laws to protect intellectual property (IP), copyright and privacy of individuals to prevent any negative occurrences in the ad and content space.

The Communications and Multimedia Content Forum of Malaysia (Content Forum) executive director Mediha Mahmood told StarBiz that while AI presents opportunities for improved ad targeting, it also raises concerns about AI perpetuating bias and reinforcing negative social norms if not used responsibly.

She said AI algorithms are trained on historical data, which may contain biases present in society.

If left unchecked, she said these biases could be amplified and perpetuated by AI systems, leading to discriminatory advertising practices.

“We call for responsible AI implementation, which should likely involve regularly auditing algorithms for bias and taking measures to mitigate and correct any biases that are identified.

“Responsible AI implementation should also ensure that ads represent diverse voices and accurately portray different communities.

“Advertisers should play a role in actively seeking diverse perspectives in ad creation and testing, which can help avoid reinforcing harmful stereotypes and instead foster inclusivity and positive representation.

“Secondly, keeping in line with the tenets of the Content Code, we highly encourage advertisers to be transparent about their use of AI in advertising.

“Consumers have the right to know when AI algorithms influence the content they see, especially when it comes to personalised ads,” Mediha noted.

Caution in using AI technologies

Content Forum is an independent self-regulatory industry body registered under the Malaysian Communications and Multimedia Commission and designated by the Communications and Multimedia Act 1998 to oversee and promote the self-regulation of content over the electronic networked medium.

Consumers, she said, should be informed about the use of AI in generating personalised content, so they can recognise when their preferences are being influenced, enabling them to maintain a level of autonomy in their decision-making.

Disclosure is also important for advertisers, she noted.

By openly disclosing the use of AI algorithms, advertisers are more likely to be responsible and cautious in their use of AI technologies.

She said disclosure allows advertisers to demonstrate a commitment to honesty and transparency, fostering trust and goodwill among their audience.

She said besides regulation, there should probably be clear laws against the creation and dissemination of deceptive content generated using AI, not just ads.

“Right now, we are already facing a challenge in addressing things like deepfakes and coordinated misinformation campaigns, and this would only be made worse if AI was adopted for the same purpose.

“We have seen many instances of how AI-generated text can be used to create fake news articles, blog posts, or social media posts that mimic the style and tone of reputable sources.

“This has led consumers to believe they are legitimate, when, in fact, they are entirely fabricated, “ she said.

Tan Kien Eng, chief executive officer, dentsu Malaysia

Tan Kien Eng, group chief executive officer of dentsu Malaysia, agreed that regulations, guidelines and laws are required to protect IP, copyright, the privacy of individuals and to protect people from malicious deepfake content, fake news, unsubstantiated claims and scammers.

He said people would need to be more sceptical and question the authenticity of digital content they come across.

They need to pause and be slow to react to content, he said, noting learning to read between the lines and look out for biasness in the way information is being presented.

“A high-level of market maturity is required to get there and it will never be perfect as the world is so polarised due to our diverse upbringing, experience and beliefs.

“In the area of craft, even though AI may have the ability to imitate human imperfection or be more human, I believe the demand for authentic human craft will become more premium,” Tan said.

Talent investment

He said the advent of AI posed a challenge for the ad industry mainly in the area of investment in talent, in AI tools and to self-regulate.

“The industry will have to invest in their current pool of talents to assist in upskilling key talents to stay relevant,” Tan said.

Mediabrands Content Studio (MBCS) executive creative director Andrew Shee

Meanwhile, Mediabrands Content Studio (MBCS) executive creative director Andrew Shee said there is a serious need to regulate the usage of AI to ensure it doesn’t fall into the wrong hands.

Unfortunately, he felt it’s too late as AI is already being used by scammers and those with nefarious intentions.

“We should lobby to have harsher penalties for those who use AI to commit crimes. However, as we know, enforcement adoption, especially in the digital space, is extremely slow, and struggles to keep up with the pace of digital innovation.

“We need to always remember that behind the lines of code, lies the mind of a human,” he said.

Pointing out some of the hurdles in the ad space arising from AI, Shee said the AI hype would unfortunately create terrible expectations when it may not, in actuality, be as amazing as some may envision it to be.

“Creativity might begin to blur, and campaigns might start to have a measure of ‘sameness’, especially as people all jump on its bandwagon.

“There are also tales of caution that abound, of images, videos and information being negatively used and distorted, and the industry will need to take up the challenge to see how this is monitored,” he said.

Key component

Having said that, on the positive side, Shee said AI definitely would have a place in the ad and creative industry.

Whether as a writing or visualising tool, a key component to an idea, or to simply inspire thought starters, he said one can’t deny that AI would play a bigger role in our lives.

“At MBCS we see it as a very positive trend and have prioritised efforts to grow and build the knowledge base of our creatives in this space.

“This will be especially useful as we look to grow innovation, consumer analysis and greater opportunities within eCommerce,” he said.

Tan opined that AI would have a more positive impact than negative impact on the ad industry.

“I see a positive impact, especially for agencies with the financial ability to invest and build safe and highly regulated AI solutions to ensure brand safety and brand relevance.

“AI and generative AI will speed up the creative exploration exercise, automate ad creation and push out personalisation at scale enabling brands to go to market at speed in a timely and contextually relevant manner at scale.

“Aside from that, with data-driven AI advertisers will benefit from high-speed data-crunching – facilitating continuous learnings to enhance the overall campaign performance,” Tan said.

Generative AI focuses on creating new content or generating new data based on patterns and rules obtained from current data.

Malaysian Advertisers Association (MAA)president Claudian Navin Stanislaus

Malaysian Advertisers Association (MAA) president Claudian Navin Stanislaus said generative AI should not be seen as a threat, but embraced as a catalyst for innovation and productivity that offers the creative, content and ad industry a new frontier of opportunities.

Early adopters of innovation

Furthermore, he said the ad industry has always been seen as the early adopters of innovation.

Undoubtedly, he said it would cause upheavals in the career path of the industry but transformation always trims redundancies.

“The key to that equation is not about inhibiting change, but staying relevant. Nevertheless, without addressing the looming IP issues, the potential for legal disputes and branding confusion is substantial.

“The revolutionary role of generative AI in the Malaysian ad industry calls for a proactive, forward-thinking approach towards IP rights. Balancing respect for the rights and interests of all stakeholders is crucial.

“The challenge lies in navigating these legal complexities without inhibiting innovation, fostering collaboration between legal experts, policymakers, AI developers, and industry professionals,” Stanislaus added.