The case overview
On September 4, 2019, the Federal Trade Commission delivered a landmark $170 million blow against digital surveillance, forcing Google and YouTube to confront their systematic violations of children’s online privacy.
Key violations
YouTube transformed children’s innocent video views into a comprehensive data collection operation. The platform deliberately collected personal information from children under 13, targeted advertisements based on this collected data, and failed to obtain verifiable parental consent. The design was intentionally crafted to attract young users while extracting maximum value from their digital interactions.
Official case documents
- FTC press release: Official FTC Announcement
- Complaint: Detailed Complaint Document
- Settlement agreement: Full Settlement Details
Financial and legal implications
The $170 million settlement was strategically divided, with $136 million going to the FTC and $34 million to the New York Attorney General. This penalty represented more than a financial punishment—it was a powerful statement about the unacceptability of exploiting children’s digital presence.
Platform mechanics
YouTube’s algorithm systematically harvested identifiers from children’s videos, integrating tracking mechanisms within content recommendation systems. The platform demonstrated how recommendation engines could be transformed into sophisticated data collection tools.
Broader impact
The settlement forced an industry-wide re-evaluation of data collection practices. Content creators faced mandatory age verification mechanisms, while tech platforms were compelled to increase transparency in their data usage and advertising strategies.