California Streaming
How will online video providers handle the state's recently passed legislation to extend loud commercial rules to streaming?
Video streaming services delivering content to the state of California will soon be required to change the way they handle advertising to alleviate one of viewers’ biggest annoyances: Loud commercials. Thanks to Senate Bill 576, signed into law in October 2025 and taking effect on July 1, 2026, commercials can no longer be noticeably louder than the surrounding program.
Broadcast and cable television providers have been adhering to the Commercial Advertisement Loudness Mitigation Act—better known as the CALM Act —since it was signed into law in 2010 to address this same issue, but it has not applied to streaming services.
The new legislation closes that gap, requiring streaming platforms to follow the same practices outlined in CALM, which itself is based on the recommended practices outlined in ATSC A/85, ensuring that ads are delivered at the same volume as the rest of the program content.
Are You Being Served?
To understand how this impacts streaming services, it helps to look at how ads are actually delivered on these platforms. The two main approaches are client-side ad insertion (CSID) and server-side ad insertion (SSID).
Client-side means the ads are added into the stream by the app or device itself. CSID is flexible and allows for targeted ads, but controlling levels is challenging, as every device handles playback differently.
Server-side, on the other hand, stitches ads into the stream before it ever reaches the viewer. SSID behaves more predictably and is often preferred as it helps counter ad blockers, but it introduces its own challenges since different vendors use different encoding pipelines, which can result in inconsistent loudness.
Streaming providers employ these models in different ways. National broadcasters like NBC, CBS, ABC, and Fox already comply with the CALM Act for their traditional broadcasts, so extending those practices to their streaming apps is a natural next step.
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Major streaming services such as Netflix, Hulu, Disney+, and Amazon Prime Video are also affected. Netflix recently introduced an ad-supported tier, Hulu and Disney+ lean heavily on server-side insertion, and Amazon Prime’s hybrid model mixes subscription and ad-supported content.
Local broadcasters face a unique challenge, as they often depend on third-party server-side ad insertion vendors for their streams, meaning they will need to ensure those partners are meeting California’s new requirements.
The biggest impact may be felt by FAST (Free Ad-Supported Television Services) channels like Pluto TV, Tubi, and Freevee. These platforms rely almost entirely on server-side ad insertion, pulling ads from a variety of suppliers, making them especially vulnerable to loudness inconsistencies.
Video-on-demand providers face their own challenges, as many of them use client-side ad insertion that requires normalization at the device level. This approach makes consistent loudness more difficult and requires VOD platforms to ensure loudness metadata is included and preserved so that the playback device can adjust levels accordingly.
Overcoming Technical Challenges
The technical hurdles to comply with this new regulation are significant. Different server-side ad insertion providers use different encoding methods, which means ads can arrive with varying loudness levels. Ads themselves often come from multiple sources, each mastered to different standards.
On top of that, playback devices—from smart TVs to mobile phones—interpret audio differently, which makes it even harder to guarantee a consistent experience. Content created before the legislation was enacted adds another wrinkle, since it may not meet modern loudness standards and would need to be reprocessed.
So how do streaming platforms tackle this? The first step is becoming familiar with ATSC A/85 recommended practices, which guide CALM compliance and, in turn, adherence to the new streaming regulations. Streaming providers will need to integrate file-based and, in some cases, real-time processing and loudness control into their server-side commercial insertion workflow, just as they currently do for their primary programming.
For client-side insertion, ensuring that loudness metadata is included and maintained is a promising option. Measuring loudness at ingest (to determine the need for corrective measures) and downstream (as a final QC step before distribution) using the latest iteration of ITU-R BS.1770 is critically important.
California’s new law is a big step toward making streaming feel more polished and viewer-friendly. For national broadcasters, it’s an extension of practices they already follow. For FAST channels and VOD providers, it’s a wake-up call to tighten up their workflows.
The challenges are real, but the solutions are within reach. By adhering to established loudness measurement, enforcing metadata-driven normalization, and holding vendors accountable, streaming platforms can not only comply with the law but also deliver a smoother, more enjoyable experience for viewers.

Costa Nikols is Executive-Team Strategy Advisor, Media & Entertainment for Telos Alliance
