TikTok to pay $400 million in US child privacy settlement
What's new: The deal dismisses the 2024 lawsuit with prejudice and includes a $300 million immediate payment.
TikTok and parent company ByteDance agreed to pay $400 million to settle a US lawsuit alleging they illegally collected data from children under 13 without parental consent. The Justice Department sued the companies in 2024 under the Children’s Online Privacy Protection Act, saying the app failed to protect children’s privacy and gathered information from young users. Court filings show the case will be dismissed with prejudice. Under the settlement, TikTok and ByteDance will pay $300 million right away and another $100 million after the government vacates a 2019 Federal Trade Commission consent decree tied to Musical.ly.