TikTok has reached a $400 million settlement with the U.S. Department of Justice, ending a\u00a02024 lawsuit\u00a0alleging the company violated federal children\u2019s privacy laws.<\/p>\n
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The DOJ said Friday that TikTok will pay $300 million immediately and another $100 million after an order vacates an earlier consent decree against its predecessor company, Musical.ly.<\/p>\n
\u201cThis settlement is a major victory for American children and parents,\u201d said U.S. Associate Attorney General Stanley E. Woodward Jr. in a statement. \u201cThe Department\u2019s priority is ensuring that children are protected online and that companies entrusted with their personal information meet their legal obligations. This resolution secures a substantial recovery while reinforcing the protections that families expect and deserve.\u201d<\/p>\n
Since the DOJ\u2019s lawsuit in 2024, TikTok has undergone major changes, most notably in the ownership structure of its U.S. arm. In January, the social video platform company\u00a0signed agreements with major investors including Oracle, Silver Lake and the Emirati investment firm MGX to form the new TikTok U.S. joint venture.<\/p>\n
Representatives for TikTok did not immediately respond to a message for comment Friday.<\/p>\n
The latest lawsuit focused on allegations that TikTok and its China-based parent company ByteDance violated a federal law that requires kid-oriented apps and websites to get parental consent before collecting personal information of children under 13. It also says the companies failed to honor requests from parents who wanted their children\u2019s accounts deleted, and chose not to delete accounts even when the firms knew they belonged to kids under 13.<\/p>\n
The settlement comes as social media companies face an avalanche of lawsuits over children\u2019s safety and privacy and a growing number of countries are banning young kids and teens from social media apps. Instagram\u2019s parent company, Meta Platforms, is\u00a0currently on trial in federal court\u00a0in Oakland, California, over allegations it violated the 1998 Children\u2019s Online Privacy Protection Act, or COPPA, along with various state statutes.<\/p>\n<\/div>\n
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Fortune Daily<\/strong><\/em> breaks the traditional barrier between audience and newsroom. The show transforms Fortune<\/em>\u2019s trusted reporting into actionable, conversational, and entertaining insights for an emerging class of business leaders. Watch here.<\/strong><\/span><\/div>\n<\/div>\n<\/div>\n<\/div>\n#TikTok #settles #childrens #privacy #suit #DOJ #million<\/p>\n","protected":false},"excerpt":{"rendered":"
TikTok has reached a $400 mill… <\/p>\n","protected":false},"author":1,"featured_media":2907,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[5141,416,673,1633,3196,4749,418],"class_list":["post-2906","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance-news","tag-childrens","tag-doj","tag-million","tag-privacy","tag-settles","tag-suit","tag-tiktok"],"yoast_head":"\n
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<\/p>\n