California Streaming Ad Law: What Changes July 1st
Effective July 1, 2026, a California law regulating the volume of advertisements on streaming platforms has taken effect. Essentially, ads can no longer be broadcast at a sound level higher than the surrounding editorial content. Therefore, brands purchasing ad inventory on platforms like Hulu, Peacock, or YouTube Premium—and reaching U.S. audiences—must verify the compliance of their creative materials.
However, the impact is not limited to American companies. In fact, many mid-market Italian brands and SMEs run digital campaigns targeting the US market, often relying on agencies or trading desks that manage programmatic buying. Consequently, the responsibility for compliance also falls on audio materials produced in Italy. We at SHM Studio we monitor these regulatory developments to support clients in reviewing their digital advertising strategies.
In summary, those with active campaigns on streaming platforms targeting the United States must act now, verifying the LKFS/LUFS levels of their commercials and updating creative briefs. Finally, this regulation likely anticipates a regulatory trend that will also expand to Europe in the coming years.
What does the new California law on streaming ads provide?
On July 1, 2026, a regulation came into effect in California that governs the sound volume of advertisements broadcast on streaming platforms. The law, discussed in recent weeks by specialized press—as reported by TechCrunch June 28, 2026 — mandates that the sound level of commercials does not exceed that of the surrounding editorial content. In particular, the reference parameter is the LKFS standard (Loudness, K-weighted, relative to Full Scale), already adopted by broadcast television in the United States through the CALM Act from 2010.
However, the scope of application now extends to on-demand streaming. Therefore, platforms like Hulu, Peacock, Paramount+, YouTube Premium, and other services with advertising inventory are directly involved. Furthermore, the regulation applies to ads distributed to users residing in California, regardless of the advertiser's geographic origin.
The Technical Mechanism: LKFS, LUFS and Audio Normalization
To understand the operational impact, it is helpful to clarify the technical workings. The standard LKFS practical equivalent to the unit LUFS — Loudness Units Relative to Full Scale) measures the perceived loudness of an audio file over a period of time. US broadcast television has adopted the target of -24 LKFS as a reference for the programs. Consequently, the spots must fall within the same range.
Therefore, an ad mastered at -14 LUFS — a common level in digital productions optimized for social platforms — would be non-compliant if distributed on regulated streaming. Likewise, aggressively compressed audio to sound louder
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