Data as a Commodity: The Student Data Mine

Context
Your free learning platform uses student data for personalized learning, targeted ads, and AI model enhancement. Many students are minors, raising GDPR-K concerns.
Dilemma
Do you:
A) Collect data for service and personalization, or
B) Protect student privacy and potentially lose revenue?
Summary
The FTC sued ed tech company Edmodo for violating the Children’s Online Privacy Protection Act (COPPA) by collecting kids’ personal data without parental consent and using it for ads. Edmodo also unfairly shifted COPPA compliance responsibility to schools and teachers. The settlement bans Edmodo from conditioning participation on excessive data collection, using student data for ads, and retaining data longer than necessary. Edmodo, which shut down U.S. operations in 2022, faces a $6 million fine (suspended due to financial constraints). The case reinforces that ed tech companies, not schools, bear the responsibility for COPPA compliance.
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Last modified: | 10 April 2025 4.09 p.m. |