According to a report this week from IR Web Report, under new guidance unanimously approved by the US Securities and Exchange Commission, companies in the US may soon be able to rely on their websites and blogs to meet the public disclosure requirements under Regulation FD under certain circumstances.
The SEC study began in late 2006 after Sun Microsystems’ CEO, Jonathan Schwartz, one of the leading CEO bloggers called the news release requirements an “anachronism.”

Although the detail of the US SEC decision has yet to be published, IR Web Report is interpreting the move as significant, as it could cut disclosure costs for many companies that today use paid PR wire services to distribute their disclosures. It could also encourage companies to make investments to improve their investor relations websites and facilitate the use of blogs for communications with investors.

Even though it may be some time before similar moves are made here, for communications practitioners and companies alike, it would represent a notable change - moving company websites beyond “electronic filing cabinets”. There is no doubt that the company website will have a more significant regulatory function into the future. Those involved in ensuring this channel is used effectively, will have their work cut out to satisfy the market’s need for accessible, current, interactive information.