Disney is paying up after California’s top law enforcement official accused the company of failing to properly protect consumers’ streaming data.
The entertainment giant has agreed to a $2.75 million settlement to resolve claims brought by California Attorney General Rob Bonta over alleged violations of the California Consumer Privacy Act, or CCPA.
According to Bonta’s office, the issue centered on how Disney handled consumer requests to opt out of the sale or sharing of their personal information. Investigators found that users who tried to exercise those rights were not always able to fully stop their data from being sold or shared across all devices and streaming services tied to their Disney accounts.
Under the settlement, Disney will pay a $2.75 million civil penalty and implement improved, comprehensive opt-out mechanisms to ensure consumers can completely halt the sale and sharing of their personal data.
“Consumers shouldn’t have to go to infinity and beyond to assert their privacy rights,” Bonta said in a statement, calling the agreement the largest settlement to date under the CCPA. He emphasized that companies operating in California must make it straightforward for users to exercise their data privacy rights across all platforms.
The complaint stemmed from a January 2024 investigation into streaming services and their compliance with state privacy laws. The Department of Justice concluded that Disney’s opt-out system did not fully comply with the CCPA’s requirements.
This marks the seventh major CCPA enforcement action secured by Bonta’s office. Previous settlements have involved companies such as Sephora, DoorDash, and Sling TV.
Disney has not admitted wrongdoing as part of the settlement but has agreed to the financial penalty and changes to its data-handling practices.
As regulators continue to scrutinize how major platforms manage consumer data, the case signals that streaming services remain firmly in the privacy enforcement spotlight.
