The economics of movie production placements
thehustle.co
thehustle.co
That contradicts the first result from google: https://www.legalteamusa.net/can-you-use-a-brand-product-in-...
(And the Louis Vuitton lawsuit mentioned in the above article was later dismissed so Warner Bros didn't need their permission: https://www.hollywoodreporter.com/business/business-news/lou...)
Also, there was another recent article I can't find at the moment that talked about brands that appeared in movies/tv that the companies didn't know about ahead of time because the producers never contacted them. The companies didn't care because they liked the free publicity.
Getting clearance from the company is more for mutual benefit than a legal requirement. Why not get some money or at least the equipment for free if you can?
https://www.vivaladirtleague.com/
Right on their front page they offer various 'packages' for product placement in their skits ranging from background placement to full skits about a product. It seems like they do pretty well for themselves. They went from almost zero budget to being able to pay casts and crew and their production quality has increased dramatically. Their videos do tend to contain some pretty obvious product placement and some from some pretty big name brands.
Why?
The Producer gets funding for their project from distribution company (Paramount, Disney, etc). The distribution company is the long-lived company that recurring revenue has to go to.
The distribution companies work as a cartel, whereby they have an existing revenue stream from all the product placements in existing films/tv that they want to protect. So as part of the Producer's contract with the distribution company, they must get the permission of the distribution company to include branded products in their films.