Chinese Toymaker Accused of Collecting Data on Children in US Also Sold Products in Canada

A child looks at his phone in this undated file photo. U.S. authorities have taken action against a Chinese toymaker saying it failed to disclose to users that its companion app for the company's robotic toys allowed a third party to collect geolocation information on users without their knowledge. William West/AFP via Getty Images

A Chinese manufacturer of robotic toys accused by U.S. authorities of collecting kids’ geolocation information for a third party without parental consent has also been selling the products in Canada.

Toymaker Apitor Technology Co. was accused last month by the U.S. Federal Trade Commission (FTC) of violating the Children’s Online Privacy Protection Act. The act requires websites, apps, and other online services for children younger than 13 to notify parents about the collection of data, and obtain verifiable consent from parents before collecting the information.

The company makes robotic toys for children up to age 14. The toys can be purchased in Canada through online retailers including Amazon, Walmart, and Best Buy. The toys have been sold since at least 2022, according to U.S. authorities.

They are marketed as a tool to teach children coding skills through the use of an app, which is required to make the robot move, says a Sept. 2 civil filing in the U.S. District Court in California.

The Android version of the app requires geolocation information sharing to be enabled or the app will not work.

The app uses software called JPush, which is produced by Jiguang, another Chinese company. It says in its privacy statement that data collected may be used for advertising or provided to third parties, according to the filing.

“At no point does Defendant disclose to users that the app allows a third party to collect precise geolocation data, nor does it seek verifiable consent from parents to collect precise geolocation data from their children,” the FTC said in the filing.

“The Apitor App has been downloaded thousands of times from the Google Play store for Android devices,” the FTC added, noting that it has “likely” transmitted geolocation data for thousands of children.

The Epoch Times contacted Apitor for comment but did not receive a response by publication time.

The Office of the Privacy Commissioner of Canada told The Epoch Times in an email that it has not received any complaints about Apitor, but added it would be reaching out to the U.S. FTC “to better understand the situation and determine next steps.”

Privacy Commissioner Philippe Dufresne previously said the office was considering developing a children’s privacy code for Canada.

“Championing children’s privacy is a strategic priority for my Office,” he said in a statement in May, adding that the agency would be seeking consultations until August.

“The ultimate goal of this consultation and the resulting children’s privacy code is to create a safer, more transparent online environment for children, where they feel empowered to exercise their privacy rights, can safely explore, learn, and grow without compromising their privacy or security.”

A federal court has issued a stipulated order that prevents Apitor from “collecting or using data” from children without making “reasonable efforts” to directly notify parents and obtain consent, according to the U.S. Department of Justice.

The company has also been ordered to delete personal information on children that was previously collected without parental consent. A stipulated order represents a mutual agreement of the parties involved.

The court also fined Apitor $500,000, but said the fine was suspended “due to Apitor’s inability to pay.”