TikTok Agrees to $400 Million Settlement Over Children’s Data
Summary
TikTok and its parent company, ByteDance, have agreed to a $400 million settlement with the U.S. Justice Department to resolve allegations that the platform violated federal laws protecting children's online privacy. The settlement, announced on August 21, 2026, requires TikTok to pay $300 million immediately and an additional $100 million once an older consent decree is vacated. The lawsuit, filed in 2024, accused the company of collecting and retaining personal information about millions of children under the age of 13, allowing them to create accounts and interact with adults without proper safeguards. The complaint also alleged that TikTok ignored parental requests to delete children's accounts, a direct violation of the Children's Online Privacy Protection Act (COPPA). This is not TikTok's first encounter with COPPA; in 2019, the company agreed to pay $5.7 million to settle similar allegations. The new settlement allows TikTok to avoid admitting fault or conceding that it broke the law, though officials described the outcome as a win for families. The deal comes amid significant changes in TikTok's ownership, management, and privacy practices in the U.S.
(Source:Global Governanace News)