Google has agreed to pay between $150 million and $200 million to resolve an FTC investigation into YouTube over alleged violations of a children’s privacy law
confirmed. Details about other terms of the settlement were not immediately available.The settlement is the latest move from the FTC meant to crack down on Silicon Valley privacy violations.
The settlement dwarfs the FTC's largest fine to date for COPPA violations: $5.7 million levied in February against the operators of Musical.ly, the China-based social video app that's become a juggernaut since rebranding as TikTok. Nevertheless, Jeff Chester, the head of one of the groups behind the original COPPA complaint against YouTube believes the FTC should have gone much farther.
"I think the message here is that when the commission did have a privacy law to enforce, it refused to do so. The punishment should’ve been at least half a billion dollars," said Chester, executive director of the Center for Digital Democracy. "It's scandalous. It sends the signal that you in fact can break a privacy law and get away largely scot-free."
Meanwhile, Marc Rotenberg, president of fellow complainant the Electronic Privacy Information Center, said the key will be the terms the FTC imposes on YouTube under the settlement. "The critical challenge for the FTC is whether it has the ability to restrain business practices that violate privacy," he said. "Imposing large fines does not address that problem."
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