Reviewed by Gotrade Internal Analyst
Jakarta, Gotrade News - The Walt Disney Company has officially agreed to pay a civil penalty of US$10 million.
This sanction settles allegations that the company violated federal data collection laws designed to protect children’s privacy.
This ruling acts as a major wake-up call for media companies regarding digital data compliance on third-party platforms.
Key Takeaways
- Disney was fined for failing to properly label kids' content on YouTube.
- This oversight allowed illegal data collection for targeted ads on children.
- The company is now required to implement a much stricter content review program.
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The trouble began when Disney was accused of failing to properly tag specific videos as content intended for kids.
This loophole allowed ad partners to target viewers under 13 and collect their personal data without permission.
According to court documents cited by Reuters, this practice violated the Children’s Online Privacy Protection Act (COPPA).
The US Department of Justice (DOJ) noted that the problematic videos were spread across popular channels like Pixar and Disney Animation Studios.
These violations involved famous cartoon characters from blockbuster hits like Frozen, Coco, and The Incredibles.
In a statement to Axios reported by Gizmodo, a Disney spokesperson emphasized that this incident was strictly limited to YouTube.
They assured that digital platforms owned and operated directly by Disney remain safe from these specific privacy issues.
This case follows a crackdown on COPPA rules after YouTube itself was hit with a $170 million fine in 2019.
Beyond the cash penalty, the court has ordered Disney to establish a specific program to ensure compliance going forward.
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Reference:
- Gizmodo, Disney to Pay $10 Million After Feds Say It Broke Kids’ Privacy Rules on YouTube. Diakses pada 2 Januari 2026
- Reuters, Disney Agrees to Pay $10 Million to Resolve Alleged Child Privacy Law Violations, Justice Dept Says. Diakses pada 2 Januari 2026
- Featured Image: Shutterstock
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