Disney has agreed to pay $10 million to settle claims that some of its content on YouTube sidestepped rules designed to protect children’s online privacy, according to a statement released by the U.S. government.
The issue centers on videos uploaded by Disney-linked entities that were not clearly marked as “Made for Kids.” That labeling matters: without it, data from viewers under the age of 13 can be gathered and used in ways that federal child-privacy rules are meant to prevent, including for ad targeting.
Officials said the mislabeling allowed personal information from young viewers to be collected without the safeguards required when content is aimed at children. The settlement brings an end to those allegations.
Beyond the financial penalty, Disney has committed to putting a formal compliance program in place to ensure future uploads on YouTube follow the Children’s Online Privacy Protection framework. The rules require online services geared toward children to tell parents what data is being collected and to obtain parental approval before collecting it.
In a statement accompanying the announcement, federal officials emphasized that parents should remain in control of how their children’s information is gathered and used online.
Disney did not immediately comment on the settlement. The matter was initially flagged by the federal consumer watchdog and later taken up by the Justice Department.
The agreement finalizes a resolution first outlined earlier this year, closing a chapter that underscores how closely children’s digital spaces are now being watched.
