AI Regulation · COPPA · Data Privacy · FTC Enforcement
The Federal Trade Commission (FTC) initiated its first privacy enforcement actions of the second Trump administration in September 2025, signaling heightened scrutiny for companies handling user data.
Key cases include Disney, fined $10 million for Children’s Online Privacy Protection Act (COPPA) violations related to YouTube video designations, and Apitor Technology, facing a $500,000 suspended penalty for collecting children's geolocation data and sharing it with a Chinese third party. Iconic Hearts (Sendit app) is also targeted for COPPA, ROSCA, and Section 5 violations involving deceptive practices and collecting data from minors.
Additionally, Aylo Group (Pornhub) faces a $15 million suspended penalty for Section 5 violations related to child sexual abuse material (CSAM) and nonconsensual material (NCM) on its platforms, requiring a comprehensive content moderation program. The FTC also launched an industry study into AI chatbots' impact on children and teens.
These actions highlight the FTC's prioritization of children's online safety, support for age assurance technologies, expanded role in policing CSAM/NCM, continued use of unfairness authority, and focus on data transfers to China. Compliance orders are also seeing shorter, though still significant, 10-year terms.
