Google has on Wednesday been mandated to pay $170 million by the United States Federal Trade Commission to settle allegations of YouTube collecting data from kids without the knowledge of their parents.
According to Sputnik News, the commission said the U.S. government had previously accused the video hosting platform, which belongs to the tech giant, of illegally tracking and targeting users under the age of 13.
The U.S. law that banned collecting information about children under the age of 13 came into effect in 1998, and was revised in 2013 to include “cookies’’.
Authorities said YouTube abused its powers and used cookies without parental consent to create targeted advertisements for minors.
Federal Trade Commission Chairman, Joe Simons, said, “YouTube touted its popularity with children to prospective corporate clients.
“Yet when it came to complying with the federal law banning collecting data on children, the company refused to acknowledge that portions of its platform were clearly directed to kids’’.
The commission said, the settlement required YouTube to notify channel owners about their obligations to get consent from their parents before collecting data on kids.