Child sits at computer with Disney screens and a tablet showing YouTube unsubscribed while parents sit on couch

Disney Pays $10M to Settle YouTube Child Privacy Claims

> At a Glance

> – Disney agrees to pay $10M to settle DOJ claims over YouTube child privacy violations.

> – The settlement requires a new compliance program for labeling and data collection.

> – DOJ says Disney’s channel has billions of U.S. views and failed to label some videos as “Made for Kids.”

> Why it matters: Parents will have clearer control over how their children’s data is collected on Disney’s popular YouTube channel.

Judge's bench in courtroom illuminated by spotlight highlighting settlement document with Austin skyline behind.

Disney’s YouTube channel, one of the most viewed in the U.S., has been at the center of a federal investigation after the Department of Justice alleged that the company failed to label certain videos as “Made for Kids,” allowing it to collect data from children without parental permission. The company agreed to pay $10M and implement a program to ensure compliance with the Children’s Online Privacy Protection Rule.

Settlement Details

The agreement, finalized in September, lets Disney avoid a trial. It also obliges the company to:

  • Properly label all videos as children’s content.
  • Obtain parental permission before collecting data.
  • Notify guardians about what data has been collected.

DOJ Statement

Brett A. Shumate stated:

> “The Justice Department is firmly devoted to ensuring parents have a say in how their children’s information is collected and used.”

Obligation Requirement Impact
Video labeling Must label as “Made for Kids” Ensures compliance
Parental consent Ask parents before data collection Protects privacy
Guardian notification Notify guardians of data collected Transparency

The settlement reflects the DOJ’s commitment to protecting children’s privacy online and holds Disney accountable for its data practices.

Key Takeaways

  • Disney will pay $10M and avoid trial.
  • New compliance program will enforce labeling and parental consent.
  • DOJ’s statement underscores its focus on parental control over child data.

Disney’s settlement marks a significant step in enforcing federal privacy laws on major streaming platforms.

Author

  • I’m Hannah E. Clearwater, a journalist specializing in Health, Wellness & Medicine at News of Austin.

    Hannah E. Clearwater covers housing and development for News of Austin, reporting on how growth and policy decisions reshape neighborhoods. A UT Austin journalism graduate, she’s known for investigative work on code enforcement, evictions, and the real-world impacts of city planning.

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