The Federal Trade Commission (FTC) has fined The Walt Disney Company $10 million after determining that the company allowed data collection on children without proper parental consent. The ruling follows an investigation into Disney’s digital platforms and mobile applications, which allegedly violated the Children’s Online Privacy Protection Act (COPPA).

Investigation Highlights

According to regulators, Disney failed to implement adequate safeguards on certain apps and online services that cater to children. These platforms reportedly gathered personal data such as location information, browsing activity, and device identifiers, which were then used for targeted advertising and analytics.

FTC’s Stance on Child Privacy

The FTC emphasized that companies offering kid-focused entertainment must strictly adhere to COPPA regulations, which require verifiable parental consent before collecting personal data from children under 13. Officials stated that Disney neglected this responsibility, creating risks for minors’ privacy and online safety.

Disney’s Response

Disney has agreed to pay the $10 million penalty and implement enhanced compliance measures to ensure future protection of children’s data. While the company has not admitted wrongdoing, it stressed that safeguarding young audiences remains a core priority. Disney also confirmed it will update its data-handling practices and oversight of third-party partners.

Wider Implications for Big Tech and Entertainment

The case adds Disney to a growing list of major corporations facing scrutiny for mishandling children’s information. Experts note that the fine serves as a reminder that both entertainment and tech companies must reinforce compliance as regulators ramp up enforcement of privacy laws.