TikTok settles children’s privacy case for $400 million
TikTok and its parent firm ByteDance have agreed to shell out $400 million to resolve claims that the video-sharing app breached children's online privacy laws, according to the U.S. Department of Justice. In 2024, the DOJ filed a lawsuit against the companies, alleging they failed to safeguard minors' privacy and unlawfully harvested their personal data.
The lawsuit accused ByteDance and TikTok of violating the Children’s Online Privacy Protection Act, which mandates parental consent for collecting data from users under 13. The settlement agreement dismisses the lawsuit with prejudice. Meanwhile, ByteDance pledged in January to establish a majority American-owned joint venture to protect U.S. data and avert a possible ban on TikTok, which boasts over 200 million users in the United States.
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