Disney to Pay $10M in Landmark Child Privacy Settlement 2025
Disney agrees to a $10M settlement over child privacy violations on YouTube. Discover how the mislabeling of 300+ videos led to FTC action in late 2025.
The magic of Disney is facing a harsh reality check. The entertainment giant has agreed to pay a $10 million settlement after federal authorities alleged it breached child privacy laws in the United States. This marks one of the most significant enforcement actions under data protection rules as we head into 2026.
Details of the Disney Child Privacy Settlement 2025
On Tuesday, the U.S. Department of Justice announced that a federal court approved the deal to resolve allegations brought by the Federal Trade Commission (FTC). The civil case centers on Disney's practices on YouTube, where it allegedly collected personal data from children without obtaining the necessary parental consent. According to antitrust officials, Disney wrongly designated more than 300 videos—including content from Frozen, Toy Story, and Mickey Mouse—as not being aimed at children.
Under the Children’s Online Privacy Protection Rule (COPPA), companies are prohibited from gathering data from children under 13 without prior notification to parents. By mislabeling its content, Disney bypassed these safeguards. It's a move that places them in the same regulatory spotlight previously shared by Google and Microsoft, who have also paid settlements for similar violations.
New Compliance Standards for Entertainment Giants
The settlement isn't just about the money. Disney is now required to establish a comprehensive program to ensure future compliance and operate its YouTube presence strictly according to data-protection rules. While Disney hasn't immediately responded to requests for comment, the financial impact is minimal compared to its $94.4 billion revenue in 2025. However, the reputational cost in an era of heightened privacy awareness could be much higher.
The Justice Department is firmly devoted to ensuring parents have a say in how their children’s information is collected and used. We'll take swift action to root out any unlawful infringement on parents’ rights.
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