
Known for creating worlds of wonder and childhood memories, Disney has long been seen as a paragon of family-friendly entertainment. Yet, beneath the surface of animated magic and beloved characters, a serious breach of trust has come to light. The revelation hints at a significant misstep, one that has drawn the attention of a major government agency and carries a hefty financial consequence. What could lead a company so deeply invested in children’s content to make a mistake that puts a multi-million dollar fine on the table?
Disney has agreed to a $10 million civil penalty for allowing the collection of children’s data on videos it posted to YouTube. The fine was imposed by the Federal Trade Commission after it was alleged that Disney failed to properly designate child-oriented content as Made for Kids. This failure led to the collection of personal information from children under 13, which was then used for targeted advertising without parental consent, a direct violation of the COPPA. Many fans, however, feel the fine is just pocket change for Disney.
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The FTC complaint specifically stated that even after YouTube notified Disney in June 2020 about approximately 300 videos that were not designated as Made for Kids, Disney did not change its channel-level designation policy. The mislabeling continued, despite repeated corrections from YouTube. And now, fans are voicing frustration over the outcome, despite the peanlty.[1]
On social media and online forums, the reaction from fans has been mixed but largely critical.
The public’s reaction and call for accountability
Following the FTC’s statement, many people expressed a sense of betrayal, believing that a company so synonymous with childhood innocence should have been more vigilant in protecting its youngest audience members. A recurring sentiment is that the $10 million fine is a negligible amount for a corporation of Disney’s stature and will not serve as a true deterrent, saying, “$10M is loose change to them“.
Some people question whether it is fair to charge only Disney and not YouTube.
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The overall tone among online communities is one of frustration and a call for more serious consequences to ensure the safety and privacy of children in the digital space. These instances demonstrate a pattern of regulatory scrutiny and legal challenges for Disney, currently struggling to connect with Gen-Z, regarding its handling of data, highlighting the ongoing importance of strict compliance with privacy laws. [2]
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What do you think about the privacy policies Disney should take care off? Let us know in the comments below
References
- ^ The FTC complaint specifically stated (www.ftc.gov)
- ^ struggling to connect with Gen-Z (www.netflixjunkie.com)