TikTok to pay $400 million to settle U.S. child privacy lawsuit

TikTok has agreed to pay $400 million to resolve a lawsuit filed by the U.S. Department of Justice concerning allegations of child privacy violations. The social media platform was accused of unlawfully collecting data from minors under the age of 13 and exposing them to adult-oriented content.

According to a statement released by the Justice Department on Friday, the settlement requires TikTok to make an immediate payment of $300 million. An additional $100 million will be paid once a prior consent decree against Musical.ly, TikTok's predecessor, is rescinded by an order.

The lawsuit highlighted concerns over the platform's data collection practices and content moderation policies regarding young users. The resolution of this case aims to address these violations and reinforce protections for child users online.

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In virtue of the agreement, TikTok will pay 300 million dollars immediately and another 100 million dollars additional when an order is issued that lifts a prior consent decree against TikTok's predecessor, Musical.ly.