Regulators said Youtube violated federal children’s privacy law known as the Children’s Online Privacy Protection Act, or COPPA New York Times reports.
Owners of the largest video sharing site, Google, on Wednesday agreed to pay $170 million fine and to protect children’s privacy on YouTube.
According to the regulators in a report compiled by New York Times the video site was said to illegally harvested personal information from youngsters and used that data to profit by targeting them with ads.
They said YouTube made millions of dollars by using the information harvested from children to target them with ads.
YouTube agreed to pay $170 million to settle the charges against them. $136 million to go to the Federal Trade Commission (F.T.C) and $34 million to New York.
As Youtube pay the largest civil penalty ever obtained by the F.T.C. in a children’s privacy case, they are to set up a system that asks video channel owners to identify the children’s content they post so that targeted ads are not placed in those videos as well as obtain consent from parents before collecting or sharing personal details like their child’s name or photos, regulators said.