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"For example, parents may not want their children to communicate with other users who they have never met or to post information about themselves or their whereabouts," the FTC report said. "Parents may also be worried that their children may post comments, photos, or videos that can damage a reputation or hurt someone's feelings. The presence of social features within an app is therefore highly relevant to parents selecting apps for their children and should be disclosed prior to download."
We talked to Marc Rotenberg, executive director of the Electronic Privacy Information Center. He told us we will probably see a formal announcement from the FTC about new oversight for children's apps.
"This report is more evidence and support for the need to update the children's privacy rules, which the FTC has proposed and which is backed by consumer groups and privacy groups and family rights groups," Rotenberg said. "As it becomes increasingly clear that companies are not able to police themselves regarding the use of children's data, the need for action by the FTC grows."