For videos uploaded for children, mostly during the pandemic.
By Catholics for Catholics
Media giant Walt Disney Company agreed to pay $10 million to settle a lawsuit brought about by a children’s privacy suit with the Federal Trade Commission, due to some videos it uploaded to YouTube, especially during the Covid pandemic.
According to Axios, it’s the first known case in which a YouTube content provider has settled a lawsuit with the FTC over children’s privacy violations, since the agency’s milestone settlement with YouTube and its parent company Google in 2019.
The lawsuit was against Disney for alleged content that wasn’t uploaded to its own platforms, possibly permitting penalties against other providers that disseminate their work on other apps and sites.
The FTC complaint alleges that Disney did not designate certain YouTube videos as being made for children when it attached them to the platform.
By not doing so, Disney mistakeably permitted those videos to be targeted with online advertising, which is why the FTC deems the improper designation as problematic.
Disney admitted that it made an administrative mistake in the form it characterized videos it uploaded to YouTube, mostly during the pandemic.
In not categorizing the videos properly, the FTC claims Disney violated the 1998 Children’s Online Privacy Protection Act (COPPA).
Such an act compels companies to alert users of content directed toward children when data tracking happens, and compels them to have parental consent for such tracking.
In addition, the FTC lawsuit also claims that the viewers of those videos, who were seemingly children, also had their data collected without parental consent.
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