Privacy Pacts by Children’s App Makers Target Ad Software

Recently finalized consumer settlements with The Walt Disney Co., Viacom International Inc., and other makers of popular gaming apps for children could have industry-wide impacts on privacy protections for advertising based on tracking online behavior.

As part of their agreements with parents who brought lawsuits on behalf of their children, the apps must restrict how data is collected and used so that children under age 13 can’t be exposed to behavioral advertising that tracks users across apps. The apps can still use contextual advertising, which is based on an app’s content.

The settlements, which had final court approval ...