Updated | WASHINGTON – Tiny Pets, Tiny Zoo, Tiny Monsters and other mobile apps aimed at children have been downloaded more than 34 million times, often – not surprisingly – by children. But TinyCo, the maker of the apps, failed to recognize that strict rules apply to collection of information from children online, according to federal regulators.
The Federal Trade Commission announced on Wednesday that TinyCo Inc. had agreed to pay a $300,000 civil penalty to settle charges that it improperly collected children’s information in violation of the Children’s Online Privacy Protection Act, known as Coppa.
Yelp Inc. also agreed to settle similar, unrelated charges and pay a $450,000 civil penalty for improperly collecting the same type of information through its consumer review app. Both companies were charged with violating Coppa because, in part, they failed to obtain a parent’s consent before collecting personal information from children under 13.
“As people – especially children – move more of their lives onto mobile devices, it’s important that they have the same consumer protections when they’re using an app that they have when they’re on a website,” said Jessica Rich, director of the F.T.C.’s Bureau of Consumer Protection. “Companies should take steps as they build and test their apps to make sure that children’s information won’t be collected without a parent’s consent.”
Yelp failed to include a screen that alerted it when a user entered an age of under 13, the F.T.C. said, although it has one on its website and the app required a user to enter a birthdate. Thus, the company collected email addresses, names, locations and all information posted on Yelp from users that it knew were under 13.
Under the terms of settlement, Yelp must delete all information collected from consumers who stated they were 13 or under at the time they registered for the service, except in cases where the company can prove that the consumers were actually older than 13.
TinyCo’s apps were clearly targeted at children, the F.T.C. said, using brightly colored animated characters and simple language. Many of the apps had an optional feature that collected email addresses. In some cases, providing an email address won a user extra currency for use to buy in-game items or to speed up play.
TinyCo failed to follow the steps required under Coppa related to the collection of children’s information, the commission said. The company agreed to delete the information it gathered from children under 13.
In addition to the fines, each company agreed to submit a report to the agency in one year documenting its compliance with Coppa.
Vince Sollitto, a spokesman for Yelp, said: “We’re glad to have been able to cooperate with the F.T.C. to get to a quick resolution and look forward to continuing our efforts to protect our users.”
In a statement, TinyCo said it supported Coppa and the F.T.C.’s effort to enforce it. “We apologize to anyone affected by this issue,” the company said, “and want to be unequivocal in stating that TinyCo is fully committed to protecting user privacy, particularly when children are involved.”