TikTok is paying $400 million to settle a major U.S. government lawsuit over allegedly violating COPPA by collecting data from kids under 13 without proper parental consent — one of the biggest fines ever for this type of violation. The case, filed in 2024, stems from TikTok’s past practices before its U.S. operations were separated from China, but the settlement specifically targets current U.S. operations. The payment includes $300 million upfront and another $100 million once a prior FTC agreement is finalized. While the Justice Department says kids are safer now thanks to TikTok’s changes — including ownership shifts and new privacy controls — no further action is planned beyond this fine. Notably, TikTok’s predecessor Musical.ly also paid a similar penalty back in 2019 for the same issue.
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