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TikTok agrees to $400M settlement with US Department of Justice
AP News • • general
Key Points:
- TikTok has agreed to a $400 million settlement with the U.S. Department of Justice to resolve a 2024 lawsuit accusing the company of violating federal children's privacy laws.
- The settlement requires TikTok to pay $300 million immediately and an additional $100 million after vacating a prior consent decree related to its predecessor, Musical.ly.
- The DOJ emphasized that the settlement protects children online and holds companies accountable for safeguarding personal information as required by law.
- The lawsuit alleged TikTok and its parent company ByteDance failed to obtain parental consent for collecting data from children under 13 and did not properly delete accounts upon parental requests.
- Since the lawsuit, TikTok restructured its U.S. ownership, forming a joint venture with investors including Oracle and Silver Lake to address regulatory concerns.
