Google to Pay $30 mn in YouTube Child Privacy Lawsuit Settlement Over Targeted Ads

Google has agreed to pay $30 million to settle a class-action lawsuit accusing the company of violating children's privacy on YouTube by collecting personal data without parental consent and using it to serve targeted advertisements.

The lawsuit alleges that Google, despite a 2019 agreement with the FTC and New York Attorney General involving a $170 million fine and promised policy changes, continued to collect data from children under 13 who viewed child-friendly content like cartoons and nursery rhymes.

Parents of 34 children claim that Google's data practices breached numerous state laws. However, claims against major content providers such as Hasbro, Mattel, Cartoon Network, and DreamWorks were dismissed earlier due to insufficient evidence linking them to the data collection.

The preliminary settlement, filed in a San Jose federal court, awaits approval by U.S. Magistrate Judge Susan van Keulen.

The settlement covers U.S. children under 13 who used YouTube from July 1, 2013, to April 1, 2020. Legal filings estimate that 35–45 million children fall within the class, with eligible claimants potentially receiving between $30 and $60 each.

Google has denied any wrongdoing. Lawyers for the plaintiffs plan to seek $9 million from the settlement for legal fees.