Disney will pay a $10 million penalty over allegations that it mislabeled videos on YouTube and allowed personal data to be collected from children without notifying parents or getting their consent, the FTC said in an announcement on Tuesday.
The complaint filed in a US District Court alleged that Disney uploaded videos to YouTube in channels that defaulted to "Not Made For Kids" when the videos should have been labeled " Made For Kids ."
Due to the mislabeling, videos intended for children collected more information than they should have and used that information to target advertising to children under 13, the FTC said. The error, which enabled features like autoplay on the videos, allegedly violated COPPA, the Children's Online Privacy Protection Rule.
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