United States of America: FTC and DoJ issued proposed consent order in lawsuit against Cognosphere (owner of Genshin impact) over alleged violations of the COPPA rule

On 17 January 2025, the Federal Trade Commission (FTC) and Department of Justice (DoJ) issued a proposed order requiring Cognosphere Pte. Ltd and Cognosphere LLC (Cognosphere), makers of the video game Genshin Impact, to pay USD 20 million and implement changes to address violations of the Children’s Online Privacy Protection Act (COPPA). The FTC and DoJ found that Cognosphere knowingly collected personal data from children under 13 without obtaining verifiable parental consent, including sharing persistent identifiers with third-party advertisers. The proposed order mandates compliance with COPPA, requiring the company to notify parents about data collection practices, obtain parental consent, and delete previously collected data unless consent is secured. The order is pending federal judicial approval.