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P_Wei/iStock(NEW YORK) — Google and YouTube will pay a record-setting fine of $170 million to settle allegations that they collected personal information from children without their parents’ consent.
The FTC and the New York Attorney General accused YouTube of violating the Children’s Online Privacy Protection Act by using cookies to track children online without first getting the consent of their parents.
The company then used those cookies to deliver targeted ads to viewers of channels specifically directed towards children, such as those channels operated by toy companies.
According to the FTC statement, YouTube told one advertising company that it did not have users under the age of 13, and therefore its channels did not need to comply with COPPA.
“YouTube touted its popularity with children to prospective corporate clients,” FTC Chairman Joe Simons said today. “Yet when it came to complying with COPPA, the company refused to acknowledge that portions of its platform were clearly directed to kids.”
“There’s no excuse for YouTube’s violations of the law,” he added.
The settlement requires Google and YouTube to pay $136 million to the FTC, the largest amount the agency has ever obtained in a COPPA case. They will also pay $34 million to the state of New York.
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