DistantNews
Support us
๐Ÿ‡ง๐Ÿ‡ฉ Bangladesh /Technology

TikTok to Pay $400 Million in US Settlement Over Children's Privacy Violations

From Daily Star · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Official statement Outcome reported
  • TikTok will pay $400 million to settle a US lawsuit alleging violations of children's privacy laws.
  • The settlement includes $300 million immediately and $100 million upon vacating a prior consent decree.
  • The case highlights a global trend of increased enforcement against social media companies regarding child data protection.

TikTok has agreed to pay $400 million to settle a lawsuit with the US Department of Justice, which accused the video-sharing platform of violating federal children's privacy laws. The settlement, announced Friday, addresses claims that the platform endangered millions of children by collecting their personal data without parental consent.

Under the settlement, TikTok will pay $300 million immediately and an additional $100 million upon entry of an order vacating a prior consent decree entered against TikTok's predecessor, Musical.ly.

โ€” US Department of JusticeDetailing the financial terms of the settlement with TikTok.

The Justice Department stated that TikTok will pay $300 million upfront, with an additional $100 million to be paid once a previous consent decree against Musical.ly, TikTok's predecessor, is vacated. This resolution is described as "one of the largest recoveries ever obtained" in a case involving the Childrenโ€™s Online Privacy Protection Act (COPPA). COPPA prohibits websites from collecting personal information from children under 13 without parental permission.

The lawsuit, jointly filed by the Justice Department and the Federal Trade Commission in 2024, alleged that TikTok allowed children to use the app and collected their data without parental notification. Even accounts in a "Kids Mode," intended for users under 13, reportedly gathered email addresses and other personal details.

one of the largest recoveries ever obtained

โ€” US Department of JusticeDescribing the significance of the settlement in relation to COPPA cases.

This settlement comes amid a broader global effort to regulate social media companies' practices concerning children's data, privacy, and safety. In Europe, Brussels initiated a probe into TikTok under the Digital Services Act (DSA) in 2024. The European Union previously accused TikTok of failing to adequately protect children through its account settings, potentially exposing them to risks like cyberbullying and predatory behavior, and risking significant fines.

A high level of protection should not be an opt-in; it should be the default.

โ€” Henna VirkkuEU tech chief, commenting on child protection standards for online platforms.
DistantNews Editorial

Originally published by Daily Star in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.