Italy Places Limits on Pay-TV Advertising

MILAN: The Italian government has approved new limits on the amount of advertising that can be carried on pay TV, as well as approving the inclusion of product placement in TV shows.

The new regulations will reduce the amount of advertising per hour from 18 percent last year to 12 percent in 2012 on pay-TV services. SKY Italia is expected to be hardest hit by the new cap. Free-to-air Mediaset, meanwhile, will be able to up its advertising to 20 percent per hour from 18 percent.

The new rulings also allow product placement on television shows, and introduce a ban on adult programming during the day. A statement from Industry Minister Claudio Scajola published by Reuters said of the decree: "European rules foreseeing more flexibility for advertising (are introduced), including product placement in TV programs; (as well as) rules that strengthen safeguards for under-aged (viewers)."