For some time now, YouTube TV has claimed that its service will save you hundreds of dollars if you switch from cable. Now, though Google says it will stop using that marketing claim after Spectrum’s parent company Charter filed a complaint with the National Advertising Division.
The NAD, a division of the Better Business Bureau, issued a recommendation that Google discontinue the claim after Charter Communication, which runs the Spectrum cable service, filed a challenge. The agency said that Google based the calculation on the cost of two set-top boxes per household for “standalone cable” services, but that ignored the fact that cable companies like Charter also have streaming options that don’t require a set-top box.
“In the context of the ‘cable’ comparison, NAD found the claim reasonably conveys the cost of YouTube TV is compared to all cable services,” the NAD said.
It also noted that the “dynamic and competitive market may be difficult to identify ‘comparable’ offerings,” noting cable providers offer some regional sports networks that YouTube TV does not. While the NAD recommended pulling the ads, it said the decision doesn’t preclude Google from making other truthful claims about the price of its service vs. cable.
Google said in the NAD statement that it “unequivocally disagrees” with the decision and plans to appeal the decision. Now Google has accepted the ruling and will stop using the $600 claim in its advertising.