Connect with us

Business

Twitter’s ad move marks notable shift in US cannabis marketing

Published

on

Twitter’s new policy change permitting advertising and marketing by state-legal cannabis companies is a step forward for the sector and could nudge other digital advertising platforms to rethink their prohibitions on cannabis promotions, industry insiders say.

At the same time, Twitter is spicing up its entry into U.S. cannabis advertising with a promotional incentive for the industry.

“To me it’s a clear indication of the normalization of cannabis as a consumer packaged good and one that is moving towards more mainstream acceptance,” said Lisa Buffo, founder and CEO of the Cannabis Marketing Association industry group.

Rosie Mattio, founder and CEO of cannabis PR agency Mattio Communications, said her firm discussed the new advertising policy with Twitter in the run-up to the social media company’s policy change.

“If (other social media firms are) seeing that there’s real money to be made by allowing cannabis companies to advertise on a specific platform, I think they’d be foolish not to open up the doors to cannabis companies,” she said.

Still, some questions remain about exactly what Twitter’s new cannabis advertising policy permits and what it doesn’t.

Twitter’s cannabis advertising rules

Some U.S. cannabis industry players have already moved to take advantage of Twitter’s policy change, with vaporizer company Pax announcing Wednesday it is “among the first of Twitter’s cannabis advertising partners,” Pax’s vice president of marketing, Luke Droulez, said in a statement.

Others are taking a wait-and-see approach.

Thomas Winstanley, chief marketing officer for East Coast multistate marijuana company Theory Wellness, said Twitter’s new approach to cannabis advertising is “more symbolic than it is practical for our operations,” at least for now.

Winstanley said Twitter’s rules for U.S. cannabis companies are different than the social media company’s advertising rules for Canada, where Twitter already allowed advertising by legal marijuana businesses.

Twitter’s U.S. marijuana advertising rules state that advertisers “may not promote or offer the sale of cannabis,” including CBD, with an exception for topical hemp-derived CBD products containing less than 0.3% THC.

Winstanley interpreted that rule as meaning that Theory Wellness can’t chase a return on Twitter advertising spending by converting an advertisement directly into a sale.

In his estimation, though, brand-awareness promotions would be in-bounds.

Twitter has not responded to an MJBizDaily request to clarify what’s permitted under its U.S. cannabis advertising policy.

“Being one of the first brands to advertise, you get a lot of impressions and a lot of scrutiny,” Winstanley said.

“And so we will likely watch and see as this new segment of (Twitter’s) business starts to evolve and develop.”

THC brand-preference promotions permitted

Twitter “is allowing advertisers to promote brand preference and informational cannabis-related content” for CBD products, THC products and “cannabis-related products and services” such as “delivery services, labs, growing technology, search engines (and) events,” according to an email from a Twitter employee that was viewed by MJBizDaily.

According to the email, Twitter is offering a six-week advertising incentive for cannabis brands, matching new ad spending up to $250,000 on a one-to-one basis.

Amy Deneson, co-founder of the Cannabis Media Council trade organization and co-founder of marijuana advertising agency Pheno, both based in New York, said Twitter’s advertiser attestation form for promoting cannabis businesses makes those advertisers “solely responsible” for complying with applicable laws and regulations.

Publishers of cannabis advertisements usually take “some shared responsibility (where) the publisher is saying, ‘We’re going to make sure that it’s within our legal and compliance, within our community guidelines and our standards, and make sure that everybody is aboveboard,’” Deneson said.

“But with this attestation, Twitter is saying it’s entirely the responsibility of the brand advertisers,” she continued.

“I do think it’s worth noting that the brand advertisers should come very correct, then, when engaging with this platform.”

Deneson said she had conversations with Twitter ahead of the company’s advertising policy change in which she emphasized that “the cannabis sector is ready for this – they have brand dollars to spend and marketing dollars to spend.”

Will Meta, others follow suit?

As regulated U.S. cannabis companies experiment with Twitter’s new advertising opportunity, it’s unclear whether Twitter’s digital advertising competitors – such as Google parent company Alphabet and Meta Platforms’ Facebook, Instagram and WhatsApp – might follow suit and allow marijuana advertisements.

Google’s ad platform recently eased restrictions on hemp and CBD advertising in select markets but still excludes much other cannabis marketing.

“I hope that Twitter sets a good example and that more and more publishers and platforms, including Meta, see the (cannabis) sector as a thriving and vibrant and beautiful sector to engage with,” Deneson said.

Cannabis public relations executive Mattio said Twitter deserves recognition “for being the first to put their flag in the ground” and believes the U.S. marijuana industry will feel allegiance toward the privately held social media platform.

“They welcomed us with open arms; the other social networks haven’t,” she said.

Cannabis “industry advertising dollars are going to go where they’re allowed,” said Cannabis Marketing Association CEO Buffo.

“And if Twitter is allowing it, folks are going to pay attention.”

Source: https://mjbizdaily.com/twitter-ad-policy-change-marks-notable-shift-in-us-cannabis-marketing/

Business

EU Pressure Builds on Google as Regulators Face Calls for Massive Fine Over Search Practices

Published

on

By

A growing coalition of European industry groups is intensifying pressure on regulators to take decisive action against Google over allegations of unfair search practices that could reshape competition rules across the region’s digital economy.

Investigation Under Digital Markets Act Gains Momentum

The case is being examined by the European Commission under the European Union’s landmark Digital Markets Act (DMA), introduced to curb the dominance of major technology platforms and ensure fair competition.

Launched in March 2024, the investigation focuses on whether Google has been prioritising its own services in search results, potentially disadvantaging rival businesses that rely on online visibility to reach customers.

Industry Groups Demand Swift Action

Several prominent European organizations have jointly urged regulators to conclude the probe without further delay. They argue that prolonged investigations allow alleged anti-competitive practices to continue, putting European companies—especially startups—at a disadvantage.

Signatories include the European Publishers Council, the European Magazine Media Association, the European Tech Alliance, and EU Travel Tech.

In a joint statement, these groups warned that delays in enforcement are affecting innovation, profitability, and growth prospects for regional businesses competing in digital markets.

Google Denies Allegations

Google has rejected claims of bias, stating that its search algorithms are designed to deliver the most relevant and useful results to users. The company has also proposed adjustments to address regulatory concerns.

However, critics argue that these changes are insufficient and fail to address the core issue of market dominance.

Potential Billion-Euro Penalties

If found in violation of the DMA, Google could face significant financial penalties. Under EU rules, fines can reach a substantial percentage of a company’s global turnover, potentially amounting to billions of euros.

Regulators may also impose corrective measures requiring changes to business practices, which could have long-term implications for how digital platforms operate in Europe.

Wider Implications for Big Tech

The case highlights ongoing tensions between European regulators and major U.S. technology firms. In recent years, the EU has taken a more aggressive stance in enforcing competition laws, aiming to create a level playing field for local businesses.

A final ruling against Google could set a major precedent, influencing future enforcement actions and shaping the regulatory landscape for global tech companies operating within Europe.

As scrutiny intensifies, the outcome of the investigation is expected to play a critical role in defining the future of digital competition across the European Union.

Continue Reading

AI & Technology

Amazon Faces Potential Criminal Trial in Italy Over €1.2 Billion Tax Evasion Allegations

Published

on

By

Milan: U.S. tech giant Amazon is facing the prospect of a major legal showdown in Italy, after prosecutors in Milan formally requested a court to move forward with criminal proceedings over alleged tax evasion totaling approximately ₹12,500 crore (€1.2 billion).

The case targets Amazon’s European division along with four senior executives, marking one of the most significant tax-related investigations involving a global e-commerce platform in Europe.

Trial Push Despite Multi-Million Euro Settlement

The move comes even after Amazon reached a financial settlement with Italian tax authorities in December, agreeing to pay around ₹5,500 crore (€527 million), including interest, to resolve part of the dispute.

Typically, such settlements lead to the closure of criminal investigations. However, Milan prosecutors have opted to proceed, signaling a tougher stance on alleged corporate tax violations.

A preliminary hearing is expected in the coming months, where a judge will decide whether to formally indict the company and its executives or dismiss the case.

Allegations of VAT Evasion Through Marketplace Sellers

At the center of the investigation are claims that Amazon’s platform enabled non-European Union sellers to avoid paying value-added tax (VAT) on goods sold to Italian consumers between 2019 and 2021.

Prosecutors allege that the company’s marketplace structure allowed thousands of foreign vendors—many reportedly based in China—to operate without fully disclosing their identities or tax obligations. This, authorities argue, led to substantial VAT losses for the Italian government.

Under Italian law, online platforms facilitating sales can be held partially liable if third-party sellers fail to comply with tax requirements, a key point in the prosecution’s case.

Italian Government Named as Affected Party

In their filing, prosecutors identified Italy’s Economy Ministry as the injured party, citing significant financial damage resulting from the alleged tax evasion.

Legal experts say the outcome of the case could have wide-ranging implications across the European Union, where VAT systems are harmonized and similar compliance rules apply to digital marketplaces.

Multiple Investigations Add to Pressure

The VAT probe is just one of several legal challenges facing Amazon in Italy. The European Public Prosecutor’s Office is reportedly examining additional tax-related issues covering more recent years.

Meanwhile, Milan authorities are pursuing separate investigations into alleged customs fraud linked to imports from China and whether Amazon maintained an undeclared “permanent establishment” in Italy—potentially exposing it to higher tax liabilities.

In a separate regulatory action, Italy’s data protection authority recently ordered an Amazon unit to stop using personal data from over 1,800 employees at a warehouse near Rome.

Amazon Denies Allegations

Amazon has consistently denied wrongdoing and indicated it will strongly contest the allegations in court if the case proceeds. The company has also warned that prolonged legal uncertainty could impact investor confidence and Italy’s appeal as a destination for international business.

Broader Impact on Europe’s Digital Economy

If the case moves to trial, it could become a landmark moment for the regulation of global e-commerce platforms in Europe. Governments across the region are increasingly scrutinizing how digital marketplaces handle tax compliance, especially in cross-border transactions.

With online retail continuing to expand, regulators are under mounting pressure to ensure that multinational platforms and third-party sellers adhere to the same tax rules as traditional businesses.

Continue Reading

Aviation

IndiGo Crisis Exposes Risks of Monopoly: What If Telecom or E-commerce Collapses Next?

Published

on

By

Airports across India witnessed scenes of distress and confusion as thousands of passengers were stranded due to IndiGo’s massive flight disruptions. Families with medical emergencies, funerals, and personal crises were left helpless as the airline cancelled hundreds of flights without adequate communication or support.

Passengers described desperate situations — a mother pleading for sanitary pads for her daughter, a woman unable to transport her husband’s coffin, and others stranded while trying to reach family funerals or hospitals. “It was like a lockdown at the airport,” one passenger said, describing the panic that unfolded as IndiGo’s mismanagement crippled operations nationwide.

Root Cause: IndiGo’s Market Monopoly

The turmoil, industry experts argue, stems from IndiGo’s monopolistic control over India’s domestic aviation market. The airline operates nearly 2,100 flights daily and holds around 60% market share — meaning every second plane flying within India belongs to IndiGo.

This dominance has given the company unparalleled influence. When IndiGo falters, the entire aviation system suffers. Passengers are left with few alternatives, as other airlines lack capacity to absorb stranded travellers. The result: skyrocketing ticket prices, chaos at terminals, and total dependence on a single private operator.

Aviation pioneer Captain G.R. Gopinath, founder of Air Deccan, criticised the government’s inaction, noting that on some routes, IndiGo’s economy fares surged to ₹1 lakh. He compared the situation to a hostage crisis, writing that the airline “held the system ransom” and forced regulators to defer new safety rules meant to protect pilots and passengers.

Government Intervention and Regulatory Weakness

The crisis erupted after IndiGo failed to comply with the Flight Duty Time Limitations (FDTL) — rules introduced by the DGCA in January 2024 requiring adequate rest for pilots. Despite having nearly two years to adapt, IndiGo blamed the rule for operational disruptions, citing a shortage of pilots.

Under mounting public pressure, the government stepped in, temporarily relaxing FDTL norms and capping airfare hikes. Officials claimed the move was to protect passengers, but analysts say it exposed the state’s vulnerability to corporate monopolies. “The government had no option but to yield,” said one aviation policy expert, pointing out that ignoring safety regulations for short-term relief could have long-term consequences.

The crisis also rekindled memories of the June 2025 Air India crash near London, which claimed over 240 lives. Experts warn that compromising pilot rest and safety standards to maintain flight schedules could risk another tragedy.

If Telecom Giants Fail: A National Paralysis

The article raises a troubling question — what if a similar crisis struck the telecom sector, where Jio and Airtel together control nearly 80% of subscribers and serve over 780 million users?

If both networks failed simultaneously, the repercussions would be catastrophic. Internet shutdowns would halt UPI transactions, online banking, OTP verifications, video calls, OTT streaming, and emergency communications. Critical services such as airports, hospitals, stock exchanges, and small businesses — many of which rely on WhatsApp and digital payments — would come to a standstill.

In essence, a telecom breakdown could paralyse India’s digital economy, exposing the nation’s dependence on a duopoly.

E-commerce Monopoly: Another Fragile Ecosystem

The same risk looms over the e-commerce sector, where Amazon and Flipkart dominate nearly 80% of the market. A disruption similar to IndiGo’s could cripple daily life — halting delivery of groceries, medicines, and essential goods, freezing refunds and customer support, and leaving small sellers without platforms to trade.

Local retailers, freed from competition, might exploit shortages by inflating prices. Such a scenario underscores the perils of market centralisation in sectors critical to everyday living.

A Wake-Up Call for Regulators

The IndiGo crisis, analysts say, is a warning shot for policymakers and regulators. A single company’s operational failure exposed systemic weaknesses in India’s infrastructure and consumer protection mechanisms.

As the aviation regulator DGCA investigates and IndiGo works to restore normalcy, the broader lesson remains clear: unchecked monopoly power in any essential service — whether air travel, telecom, or e-commerce — poses a direct threat to economic stability and citizen welfare.

Without stronger competition laws, redundancy frameworks, and regulatory oversight, India risks repeating this crisis across multiple sectors — each time with millions of citizens paying the price.

Continue Reading

Trending

Copyright © 2022 420 Reports Marijuana News & Information Website | Reefer News | Cannabis News