The Walt Disney Company has agreed to pay $10 million to settle allegations from the Federal Trade Commission (FTC) that it enabled the unlawful collection of children’s personal data on YouTube.
The FTC accused Disney of failing to properly label certain YouTube videos as content “made for kids,” which allowed personal data to be collected from children under 13 years old without parental consent. This data was allegedly used for targeted advertising, in violation of the Children’s Online Privacy Protection Rule (COPPA).
The complaint highlighted that Disney’s actions contributed to unlawful data tracking from viewers of child-directed videos. The FTC settlement will require Disney to not only pay the penalty but also review and monitor its YouTube content to ensure proper classification.
YouTube had already introduced stricter rules in 2019, following its own FTC settlement, requiring creators to clearly mark whether content is made for children. Videos marked “for kids” prevent data collection, disable comments, and block personalized ads.
In a statement, Disney emphasized its commitment to child safety: “Supporting the well-being and safety of kids and families is at the heart of what we do… This settlement is limited to some of our content on YouTube’s platform and does not involve Disney-owned digital platforms.”