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ARTICLE · 12 JANUARY 2016

FTC Prosecutes Serving Of Behavior Ads On Kids' Apps

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The Federal Trade Commission reminded publishers and advertisers recently that the Children's Online Privacy Protection Act prohibits data collection, absent verified parental consent, for behavioral (interest-based) advertising...

United StatesPrivacy

The Federal Trade Commission reminded publishers and advertisers recently that the Children's Online Privacy Protection Act (COPPA) prohibits data collection, absent verified parental consent, for behavioral (interest-based) advertising on websites or mobile apps directed at children under 13. App publisher TapBlaze paid $60,000 and entered into a 20-year consent (available here) to settle charges.

The revised COPPA Rule is unequivocal in that absent verified parental consent, unique identifiers (e.g., device ID or ad IDs) cannot be used in connection with services directed to children for advertising that uses data collection over time or third-party services to create profiles on users to deliver them interest-based ads. This means not only no behavioral ads on kids' online services, but also no "retargeting" by the publishers (serving the user with an ad for the publisher when the user leaves the service and goes to a third-party service) and no data collection on

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