Court rejects appeal in child addiction case against tech platforms
Courts reject appeal in child addiction case; Meta faces privacy trial over minors.
Event / Security
TikTok Child Privacy Settlement
TikTok and ByteDance settled a $400 million child privacy lawsuit with the U.S. Justice Department, resolving allegations of COPPA violations. The settlement includes a $300 million immediate payment and $100 million contingent on consent decree approval. Additionally, TikTok formed a majority American-controlled joint venture with Oracle, Silver Lake, and MGX in January 2026 to manage U.S. operations following a temporary shutdown in January 2025.
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2026-08-22 to 2026-11-09 · UTC publication dates
Coverage begins 22 Aug, 05:21 UTC
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What happened
TikTok settles $400 million child privacy lawsuit with US Justice Department
TikTok and ByteDance reached a $400 million settlement with the U.S. Department of Justice over a lawsuit filed in August 2024 alleging violations of federal children's privacy laws. The settlement requires TikTok to pay $300 million immediately and an additional $100 million after the court vacates an earlier consent decree involving Musical.ly, TikTok's predecessor company.
Meta faces federal trial over children's privacy law violations
Meta Platforms is currently on trial in federal court in Oakland, California, over allegations that it violated the Children's Online Privacy Protection Act (COPPA) from 1998 and various state statutes regarding children's safety and privacy.
TikTok settled separate addiction lawsuit in January 2026
In January 2026, TikTok settled a lawsuit claiming the platform deliberately sought to addict and harm children. The settlement occurred just days before the case was scheduled to go to trial, though specific settlement terms were not disclosed.
Trump administration reportedly to receive $10 billion fee for TikTok deal
In March 2026, the Wall Street Journal reported that the Trump administration was set to receive a $10 billion fee for brokering the deal that kept TikTok in service in the United States.
TikTok temporarily shut down in US in January 2025 during Biden administration
TikTok experienced a temporary shutdown in the United States in January 2025 during the Biden administration. The Trump administration subsequently implemented a series of delays to prevent similar outages.
TikTok accused of illegally collecting children's data and failing to delete accounts
The Justice Department lawsuit alleged that TikTok and ByteDance knowingly allowed children to create accounts on the platform and failed to delete those accounts upon parents' requests, violating the Children's Online Privacy Protection Act (COPPA) which requires parental consent before collecting personal information from children under 13.
9th Circuit Court rejects appeal attempt in child addiction lawsuits against tech platforms
On August 10, 2026, the 9th U.S. Circuit Court of Appeals rejected an attempt by Meta, TikTok, Google, and Snap to immediately appeal a ruling regarding child addiction lawsuits. The companies now face more than 3,000 lawsuits filed by states, municipalities, school districts, and individuals.
ByteDance completes deal to form majority American-controlled US venture
In January 2026, ByteDance finalized an agreement with major investors including Oracle, Silver Lake, and the Emirati investment firm MGX to create a majority American-controlled joint venture to manage data from TikTok's U.S. users, allowing the platform to continue operating in the United States.
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2 alternative perspectives
ByteDance completes US venture restructure with majority American control
ByteDance restructures TikTok's US operations under majority American control with reported $10 billion fee.
TikTok agrees to $400 million settlement over child privacy violations
TikTok settles $400 million child privacy lawsuit with US Justice Department over illegal data collection.