Summary
Disney has agreed to pay $10 million to settle a lawsuit with the Federal Trade Commission (FTC) over improperly designated children's content on YouTube. The FTC claimed Disney violated the Children's Online Privacy Protection Act (COPPA) by not labeling some videos for children, which led to data being collected from viewers without parental consent. Disney will implement measures to ensure proper labeling of children's content moving forward.
Key Facts
- Disney agreed to a $10 million settlement with the FTC over a children's privacy lawsuit.
- The issue involved videos on YouTube not marked as children-targeted, which led to improper data collection.
- The FTC alleges this violated the 1998 Children's Online Privacy Protection Act (COPPA).
- The content mostly consisted of storytime videos featuring celebrities reading to children during the COVID-19 pandemic.
- The FTC began its investigation during the Biden administration.
- Disney will create an "Audience Designation" program to better review and categorize videos.
- The settlement does not involve Disney-owned platforms, only content distributed on YouTube.
- The settlement is part of broader FTC efforts to enforce children's privacy rules online.
