TikTok to pay $400m settlement in children's privacy case
TikTok has agreed to a $400 million settlement with the US Department of Justice regarding allegations that it violated children's privacy laws. The lawsuit claimed the platform collected data from users under 13 without parental consent.
Why it matters
This settlement represents a major enforcement action regarding digital privacy and the protection of minors on social media platforms.
TikTok has agreed to pay $400 million to settle a lawsuit with the US Department of Justice over claims that the video-sharing platform violated federal children's privacy laws, the department has announced.
Regulators around the world have been ramping up enforcement against social media companies that violate laws around protecting children's data, privacy and safety.
Chinese company ByteDance - which sold off a majority stake of its US entity earlier this year in order to avoid a ban by the Trump administration - is also named as part of the settlement. It has a 19.9% ownership stake in TikTok US, according to US media.
"Under the settlement, TikTok will pay $300 million immediately and an additional $100 million upon entry of an order vacating a prior consent decree entered against TikTok's predecessor, Musical.ly," the department said in a statement.
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