Disney Agrees to $10 Million Penalty Over Children’s Privacy Violations

The Walt Disney Company has agreed to pay a $10 million civil penalty as part of a settlement resolving allegations that it violated children’s privacy laws, the U.S. Department of Justice announced on Tuesday. The settlement also includes a court injunction aimed at strengthening the company’s compliance with regulations governing the collection and use of children’s data.

Assistant Attorney General Brett Shumate emphasized the importance of parental oversight in digital spaces, stating that the Justice Department is “firmly devoted to ensuring parents have a say in how their children’s information is collected and used.” The case reflects ongoing federal scrutiny of major tech and media companies regarding data privacy, particularly for minors.

Disney, one of the world’s largest entertainment companies, reportedly faced allegations of collecting personal information from children without obtaining the necessary parental consent, in violation of the Children’s Online Privacy Protection Act (COPPA). While the settlement does not require an admission of wrongdoing, the company has agreed to implement stricter measures to monitor data collection, improve transparency, and ensure compliance with federal law.

Industry analysts note that this settlement serves as a reminder for media and technology companies to prioritize privacy, especially when services are directed at young audiences. Disney’s commitment to updating its internal policies and practices signals its intent to avoid further regulatory penalties.

The case also underscores growing concerns over children’s digital privacy, highlighting the need for companies to maintain robust safeguards as online platforms continue to expand their reach in educational, entertainment, and gaming content.