Fortnite creator Epic Games fined $520 million in record-breaking FTC settlement

Epic Games logo displayed on a phone screen
(Image credit: NurPhoto / Contributor/ Getty Images)

Epic Games Inc., the video game developer behind Fortnite, has agreed to pay $520 million to settle allegations from the Federal Trade Commission that it violated online privacy laws for children and purposely misled customers into making unintended purchases, The Wall Street Journal reports.

The agreement covered two separate civil complaints the FTC had filed against Epic. The first complaint alleged that the company violated the federal Children's Online Privacy Protection Act by collecting personal information from Fortnite players under 13 without obtaining parental consent. The lawsuit also claimed that the game illegally defaulted to enabling voice and text chat communication features for minor players. The FTC said Epic put children at risk by exposing them to strangers, leading some kids to be "bullied, threatened, harassed, and exposed to dangerous and psychologically traumatizing issues such as suicide." Epic will be charged a $275 million fine for the alleged COPPA violations, the largest civil penalty linked to the privacy law, per the FTC.

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Theara Coleman, The Week US

Theara Coleman has worked as a staff writer at The Week since September 2022. She frequently writes about technology, education, literature and general news. She was previously a contributing writer and assistant editor at Honeysuckle Magazine, where she covered racial politics and cannabis industry news.