TikTok and its parent company, ByteDance, have reached a $400 million settlement over a federal lawsuit that accused them of violating U.S. children's online privacy laws.
The settlement follows allegations that TikTok collected and kept data from young users without permission, violating the Children’s Online Privacy Protection Act (COPPA).
The lawsuit was prompted by a Federal Trade Commission (FTC) investigation, with the Department of Justice (DOJ) filing the suit in 2024.
It was claimed that TikTok allowed children to create accounts and interact with adults since 2019.
In response to these allegations, TikTok plans to implement features that improve parental controls and oversight for young users.
A DOJ statement emphasized that TikTok's changes advance public interests and strengthen protections for American families.
This settlement represents a step towards holding tech companies accountable for children's online safety.
TikTok faces another lawsuit in Pennsylvania, alleging that the platform is addictive and harmful to children.
The settlement is a significant move in enhancing the protection of children's privacy online, as TikTok works to address its legal challenges and improve safety measures for its young users.
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