TikTok agrees $400m settlement over children’s privacy allegations
Developing story first seen 2 hours ago
The US Department of Justice has confirmed that TikTok will pay $400 million to settle its 2024 lawsuit alleging breaches of the Children's Online Privacy Protection Act (COPPA), which the DOJ has now formally described as one of the largest recoveries ever secured in such a case. The lawsuit accused TikTok of collecting data from underage users without notifying or obtaining consent from parents, and of failing to delete accounts when parents requested it, raising concerns about how the platform handled young users' personal information.
Under the settlement, TikTok will pay $300 million immediately, with a further $100 million due once a court vacates an earlier consent decree against its predecessor platform, Musical.ly. The DOJ said TikTok has since undergone substantial changes to its ownership, management and compliance practices, introducing stronger safeguards, improved age-related controls and enhanced parental oversight; this follows January's completion of a deal placing TikTok under new joint US ownership. TikTok did not immediately respond to a request for comment.
- TikTok to pay $400m settling DOJ children's privacy lawsuit
- $300m due now, $100m tied to vacating Musical.ly consent decree
- Follows January's restructuring of TikTok's US ownership
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TikTok is a short-video app owned by ByteDance and used by millions of children and teenagers, despite official rules requiring users to be at least 13. Because it collects large amounts of personal data to power its recommendations and advertising, regulators have long scrutinised how it treats young users, particularly around parental consent and data deletion requests.
This case centres on the Children's Online Privacy Protection Act (COPPA), a long-standing US law that requires companies to get verifiable parental permission before collecting data from children under 13. The lawsuit, brought by the US Department of Justice in 2024, argued that TikTok and its earlier version, Musical.ly, gathered such data without proper consent and sometimes ignored parents who asked for accounts to be removed.
The case also comes against a backdrop of wider disputes over TikTok's US operations, including recent changes to its ownership structure following political pressure in America. The outcome matters because it tests how far privacy laws can be enforced against a major global platform, and because it speaks to broader public concern about how tech companies handle children's data online.
Both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
Supporters of the settlement argue that $400 million is a substantial and meaningful penalty, one of the largest ever secured under COPPA, and that it appropriately holds TikTok accountable for real harms to children's privacy without the delay, expense and uncertainty of prolonged litigation. They point to the fact that TikTok has since overhauled its ownership, management and compliance systems, introducing genuine age-verification and parental oversight tools, as evidence that the settlement is achieving its underlying purpose of protecting young users rather than merely punishing the company after the fact. From this view, a negotiated resolution that secures concrete reforms and significant funds more efficiently serves families than years of contested court proceedings.
The case against
Critics argue that $400 million, while sounding large, is a modest sum for a company of TikTok's scale and profitability, and that settlements of this kind allow corporations to resolve serious allegations of harming children without admitting wrongdoing or facing individual accountability for decisions made under previous ownership. They contend that splitting the payment, with a portion contingent on a separate legal manoeuvre involving Musical.ly's consent decree being vacated, risks diluting the deterrent effect and sets a precedent that large tech firms can treat privacy violations as a routine cost of doing business rather than a serious breach of parental and child trust. On this view, only sustained regulatory scrutiny and tougher enforcement, not one-off settlements, can genuinely safeguard children's data.
More coverage
- BBC Technology — TikTok to pay $400m to US in one of largest child privacy settlements
- Deadline — TikTok To Pay $400M In Justice Department Settlement Over Children’s Privacy
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Originally published by The Verge as “TikTok will pay $400 million to settle DOJ child privacy lawsuit”.