Disney Agrees to Pay $10 Million for Violating Children's Privacy Laws in the U.S.
Disney Takes Responsibility
Disney has agreed to pay $10 million to settle allegations that it violated children's privacy laws in the United States, authorities announced. A federal court approved this arrangement to address claims brought by the Federal Trade Commission, the Justice Department said on Tuesday.
The order also requires Disney to operate its YouTube channel in compliance with data protection rules and to establish a program to ensure adherence in the future. Disney has consented to resolve claims brought by U.S. antitrust authorities in September.
The civil case originates from allegations that Disney collected personal data from children without parental consent through its YouTube videos. Antitrust officials claimed that Disney improperly labeled over 300 YouTube videos, including content from films such as "The Incredibles," "Toy Story," "Frozen," and "Mickey Mouse," as not intended for children.
YouTube requires content creators to label videos as "Made for Kids" or "Not Made for Kids" to comply with the Children's Online Privacy Protection Act. Under this regulation, companies in the U.S. are prohibited from collecting data from children under 13 years of age without parental notification.
Other major companies that have paid settlements under the regulation, which has been amended several times since its adoption in 2000, include Google and Microsoft. Disney did not immediately respond to a request for comment.
“The Justice Department is firmly committed to ensuring that parents have a say in how their children's information is collected and used,” said Deputy Attorney General Brett A. Shumate in a statement. “The Department will take swift action to eliminate any illegal infringement of parental rights to protect the privacy of their children.”
Based in Burbank, California, Disney is one of the largest entertainment companies in the world, reporting revenues of $94.4 billion for the fiscal year 2025.
