Part 6/10:
It emerged that YouTube notified Disney as early as June 2020 about misclassified videos—more than 300 at the time—prompting attempts to correct the problem. However, the lawsuit revealed that Disney continued to default to broader channel-level settings rather than evaluating videos individually in accordance with the law. This gross negligence allowed for ongoing data collection and targeted advertising, benefiting Disney financially.
Industry Implications and Corporate Responsibility
This case underscores the importance of strict compliance with children’s privacy laws in the digital age. The $10 million fine signals that regulators are willing—and able—to enforce regulations against even the largest entertainment corporations.