The Walt Disney Company has reached a significant settlement with the state of California over allegations that it violated the California Consumer Privacy Act (CCPA). Announced on February 11, 2026, by California Attorney General Rob Bonta, the agreement requires Disney to pay $2.75 million in civil penalties. This amount marks the largest settlement achieved under the CCPA to date, according to Deadline.
The case originated from an investigative sweep conducted by the attorney general’s office in 2024, which focused on streaming services and their handling of consumer data. Investigators examined how major platforms managed user privacy rights, particularly the ability to opt out of data sales and sharing. Disney, through its various streaming services including Disney+, Hulu, and ESPN+, along with associated accounts and devices, came under scrutiny during this review.
The allegations centered on Disney’s failure to properly honor consumer requests to stop the sale or sharing of personal information. Under the CCPA, California residents have the right to direct businesses not to sell or share their data, and this opt-out must apply comprehensively across all platforms, services, and devices linked to a user’s account. The state claimed that Disney’s systems did not fully implement these requests in a consistent manner. For instance, an opt-out submitted on one device or service might not extend to others, leaving portions of a consumer’s data still subject to collection, sharing, or targeted advertising. Disney gathered personal details such as device identifiers, IP addresses, user interaction patterns, and login information from its ecosystem and third-party sources. This data supported personalized advertising both within Disney’s platforms and on external sites.
The settlement resolves these claims without Disney admitting wrongdoing. As part of the agreement, the company must overhaul its opt-out procedures to ensure that any consumer request to halt data sales or sharing takes effect universally across all connected devices, streaming apps, and services tied to a Disney account. This change aims to eliminate fragmented or device-specific limitations that previously hindered full compliance. Disney will also establish a robust compliance monitoring program for at least three years to verify ongoing adherence to the improved processes.
This enforcement action represents the second major outcome from the 2024 streaming industry investigation. It underscores California’s commitment to enforcing its privacy laws, which set a high standard for consumer control over personal data in the digital age. The CCPA, enacted to give residents greater transparency and authority regarding how companies handle their information, prohibits businesses from making opt-outs overly burdensome or incomplete.
The $2.75 million penalty highlights the growing emphasis on accountability for large technology and media companies that rely on data-driven advertising models. Streaming platforms, which collect vast amounts of user behavior to refine content recommendations and ad targeting, face increasing pressure to align practices with state-level privacy protections. Other streaming providers remain under review as part of the broader probe, suggesting additional enforcement could follow.
For consumers in California, the resolution reinforces the effectiveness of opt-out rights and sends a message that requests for privacy must be honored without unnecessary obstacles. Disney’s adjustments are expected to streamline the process, making it simpler for users to exercise control over their data across the company’s extensive portfolio of entertainment offerings. The settlement still requires judicial approval, but it reflects a proactive step toward stronger privacy safeguards in an industry where data plays a central role in business operations.
This development arrives amid broader scrutiny of how entertainment giants manage user information, especially as streaming competition intensifies and regulatory frameworks evolve. California’s leadership in privacy enforcement continues to influence national standards, pushing companies to prioritize seamless compliance to avoid future penalties. The agreement balances enforcement with practical remediation, allowing Disney to maintain its services while addressing the identified shortcomings in data handling.
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