According to people close to the matter, YouTube is planning to end targeted ads on videos aimed at Kids. According to the sources, they are already finalizing these plans. YouTube wants to end ads on videos that are likely to be watched by kids. The decisions come as a way for the video platform to satisfy regulators.
YouTube Plans To End Targeted Ads on Videos Aimed At Kids
This decision will cause an immediate dent in ad sales for the video platform. But many say that the decision is a lesser of two evils. Seeing as the dent in ad sales won’t be as much as the other proposals on the table. YouTube is already facing a multi-million dollar fine for potential previous breaches of the Children’s Online Privacy Act (COPA). The Federal Trade Commission is looking into whether the video platform breached the Children’s Online Privacy Act (COPPA).
According to sources, the agency has reached a settlement with YouTube. The terms of the settlement have yet to be released and it is unclear if this decision is part of the settlement agreement. People close to the matter disclosed that the decision can still be reversed. YouTube and The Federal Trade Commission has declined to comment on the reports.
More on YouTube and the Federal Trade Commission
Here’s why YouTube might be in hot water with the Federal Trade Commission:
According to US rules, companies are forbidden from advertising directly to children below the age of 13. But the demographics of YouTube’s audience is such that many young children have been inadvertently exposed to behavioural ads capable of gathering information on the viewer.
The video platform has been insisting that its flagship app isn’t designed for children. They pointed to the YouTube Kids app where targeted advertising has been removed, as evidence it provides a separate kid-friendly service. Many critics have highlighted the presence of many videos clearly aimed at kids on the main app. Some of such videos include nursery rhymes and cartoons.
The platform has been on a lot of fire lately over its child safety policies. Many brands paused advertising on the platform earlier this year because it was found that paedophiles were leaving “predatory” comments on videos featuring children. The video platform took action by banning comments on videos of minors.