TikTok and ByteDance agree to pay $400 million in U.S. children’s privacy lawsuit

TikTok and its parent company ByteDance have agreed to pay $400 million to settle a U.S. Justice Department lawsuit accusing the platform of violating children’s online privacy laws. The deal resolves claims that TikTok collected personal data from users under 13 without required parental consent, but the companies did not admit wrongdoing. Under the settlement, TikTok will pay $300 million immediately and another $100 million after a prior consent decree tied to its predecessor, Musical.ly, is vacated. The case matters because it is one of the largest recoveries ever in a children’s privacy case and could influence how social media companies handle young users’ data.