youtube

Warner Bros, makers of Shadow of Mordor, has reached a settlement with the Federal Trade Commission (FTC) after they were accused of hiding the payments from people.

The FTC, a consumers rights organisation, stated Warner Bros had deceived customers by paying YouTubers to promote the game without admitting it.

The company is now banned from hiding similar deals in the future and from pretending sponsored videos are the work of independent producers.

The company's executives have been meeting with Hollywood studios and production companies in the hope of strengthening its new ad-free subscription video streaming service Red with new titles, The Wall Street Journal reports.

Although negotiations are thought to be in early stages, the company is said to be focusing on new material, as opposed to older titles.

It was previously announced that YouTube Original Series and Movies will be available next year through YouTube Red and will include work from the likes of PewDiePie and The Fine Brothers.

Thursday's announcement comes a day after the debut of the first online 360-degree ad, a commercial for Bud Light.

Right now, viewers using the mobile YouTube app or Google's Chrome browser can pan around in any direction in the 360-degree videos. They're shot using special camera rigs that look in many directions, and software stitches together all the video.