According to sources speaking to Bloomberg, the move is designed to satisfy the Federal Trade Commission (FTC), which has been investigating whether YouTube breached the Children’s Online Privacy Act (COPPA) by collecting data on children.
The regulator reached a settlement with Google over the allegations, but the details are unknown, aside from an expected multi million-dollar fine.
COPPA bans companies from serving targeted ads, which rely on collecting information, to children under the age of 13 without parental permission. In spite of this – and YouTube’s protestations that children should use the YouTube Kids app which does not include targeted ads – children’s content and content featuring children receives the most amount of views on the site.
The report also claims that the removal of targeted ads is likely to be less expensive for Google than other suggested plans.
FTC chairman Joseph Simons had previously suggested removing ads altogether from children’s content, but Google’s current plan will still present ads on these videos.
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