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What the FTC investigated
The report, A Look Behind the Screens: Examining the Data Practices of Social Media and Video Streaming Services, followed Section 6(b) information orders issued in December 2020. The FTC sought records from nine companies: Meta, YouTube, TikTok owner ByteDance, Snap, Discord, Reddit, Amazon-owned Twitch, WhatsApp and Twitter/X. Section 6(b) lets the agency conduct an information-gathering study; it is not the same as an enforcement complaint or a court finding that every company broke the law.
The examination covered collection, use, disclosure, minimization, retention, deletion, targeted advertising, automated decision-making, children and teenagers, and competition. Because the orders were issued in 2020 and the companies supplied historical records, the report is not a real-time audit of every platform’s practices in August 2026. Read the official report record and the full staff report for the underlying material.
What “data hoarding” means in this context
“Data hoarding” is an editorial shorthand, not a statutory term. In the FTC’s description, the concern was a combination of practices:
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- Collecting information beyond what appears necessary to provide a service.
- Combining information users submit with passively collected, inferred and data-broker information.
- Gathering information about people who never opened an account.
- Keeping data indefinitely or under vague retention limits.
- Sharing information with affiliates, vendors and advertising partners.
- Reusing data for advertising, recommendations, analytics and AI-related systems.
The report called many companies’ collection, minimization and retention practices “woefully inadequate.” That is a staff assessment of the practices described in the study, not a ruling that every named company engaged in unlawful conduct.
What kinds of information were involved?
The report discussed personal and demographic information, interests and behavior, activity on and off a service, location and household-income information obtained from data brokers, and attributes inferred by automated systems. It also addressed information used to select advertisements and recommend content. The report generalized some findings and summarized or anonymized some company-specific material; it is not a complete field-by-field inventory for every platform.
Why non-users matter
Privacy exposure does not necessarily begin with an account. Contact uploading, embedded tracking tools, advertising systems, public information and data brokers can bring non-users into a company’s data environment. The FTC identified collection involving non-users as a concern, but it did not establish that every platform maintains a complete profile on every person who has never signed up.
Why targeted advertising is central
The FTC linked broad collection to the economics of targeted advertising. Many of the companies examined rely heavily on advertising services built around personal information, and targeted advertising represented most revenue for many of them. The policy concern is straightforward: when more detailed behavioral profiles can improve ad value, a company may have an incentive to collect, combine, analyze and retain more information than users expect.
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That incentive is not proof that every targeted advertisement is illegal. It is an explanation for why notice alone may not reduce collection. In practical terms, the business model can create a chain of collection → profiling → targeting → revenue → pressure to retain and reuse data.
Pixels and other tracking tools
The report also raised concerns about advertising pixels and similar technologies that pass browsing or interaction information into advertising systems or connect it with an existing profile. A pixel is not automatically unlawful. The relevant questions are what it collects, whether sensitive information is involved, what the user was told, whether consent was required, who receives the information, how long it is kept and whether the person can limit or delete it.
Deletion, minimization and retention problems
Data minimization asks whether a company needs a particular category of information for a stated purpose. Retention asks how long it needs to keep it. The FTC found inadequate or poorly defined approaches in both areas.
Deletion can be especially complicated. The report described circumstances in which companies deleted only portions of a record or de-identified information instead of removing it. De-identification may reduce direct identifiers, but it is not the same as erasing every copy or derived use. A meaningful deletion program must address questions such as:
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- Do backups and archives get covered?
- Are inferred attributes and advertising audiences removed?
- What happens to data sent to affiliates, vendors and ad partners?
- Is information copied into analytics, model-development or evaluation datasets?
The report did not establish one universal technical answer. It showed why a promise to “delete your data” can be difficult to evaluate without a documented scope and retention schedule.
How AI and automated systems change the issue
The companies told the FTC that user and non-user information flowed into algorithms, analytics systems and AI-related uses. The report also found limited or inconsistent ways for people to opt out and inadequate approaches to monitoring and testing automated systems.
The forward-looking implication is that information collected for advertising can also become material for ranking, recommendations, moderation, targeting, model development or evaluation. Derived datasets and model pipelines make purpose limitation and deletion harder: a company must know where information went, what was copied or inferred, and which downstream systems can honor a deletion request. Those are policy implications, not a claim that AI training was the main reason the platforms collected the data.
Children and teenagers received special criticism
The FTC criticized companies that treated teenagers largely like adults or assumed children were absent because a service was not directed to children or formally prohibited child accounts. Under the federal Children’s Online Privacy Protection Act (COPPA), the core protections generally apply to children under 13, including parental-consent and deletion requirements. COPPA does not automatically provide a comprehensive privacy regime for all teenagers; the FTC has separately argued that stronger protections for teens may be appropriate. See the agency’s COPPA guidance.
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Concrete developments after the report
In January 2025, the FTC finalized COPPA amendments addressing children’s data, parental controls, minimization, retention and limits on monetizing children’s information. The changes are narrower than a general federal privacy law and focus on COPPA-covered services. Details are in the FTC’s announcement.
On February 25, 2026, the FTC issued a COPPA policy statement concerning certain operators that collect information solely to determine a user’s age. The agency said it would not bring COPPA enforcement actions under specified conditions, including using the information only for age verification, retaining it no longer than necessary, promptly deleting it, securing it and restricting disclosure. The statement is an enforcement policy, not a nationwide mandate requiring every service to verify age. It also creates a practical tension: age verification can protect children, but it can become another sensitive data silo if reused for advertising, profiling or identity resolution. The FTC said it intends to review COPPA’s age-verification provisions. Read the policy statement.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.Which regulations could come next?
Comprehensive federal privacy legislation
The FTC recommended that Congress enact a comprehensive federal privacy law. A possible statute could include:
- Data minimization and purpose limitation.
- Retention schedules and deletion rights.
- Access, correction, portability and opt-out rights.
- Limits on sensitive-data processing and targeted advertising.
- Restrictions on data brokers.
- Stronger protections for teenagers.
- Transparency, testing and auditing for automated systems.
A single national standard could reduce conflicting compliance requirements, but federal preemption could displace stronger state laws. Definitions of “necessary” or “sensitive” data could be difficult to apply, and enforcement authority or a private right of action would determine how effective the law became. The report supports this policy direction; it does not make passage imminent.
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FTC enforcement under existing authority
The FTC can pursue deceptive or unfair conduct and enforce sector-specific laws such as COPPA. A staff report, however, is not an enforcement complaint, consent order or formal rule. Distinguish among the agency describing problematic practices, alleging a legal violation, a court finding a violation, a company settling without admitting wrongdoing and Congress proposing a prohibition.
State laws and advertising restrictions
State privacy statutes can continue to supply rights and duties while Congress debates a federal approach. Policymakers may also consider limits on targeted advertising, data-broker transfers, sensitive inferences and automated decision-making. The report identifies the issues but does not dictate the final design.
Teen-privacy legislation
A 2026 Senate Commerce Committee report on the proposed Children and Teens’ Online Privacy Protection Act describes measures addressing teenagers, retention, consent, minimization and targeted advertising. It is proposed legislation or committee action, not evidence that the bill has been enacted. See the Congress.gov report and PDF.
What the report does—and does not—change
| Question | What the report establishes | What it does not establish |
|---|---|---|
| Is there a new federal privacy law? | No. It is a staff study using Section 6(b) information. | It does not impose a private right of action or nationwide data limits. |
| Are platforms currently audited? | Historical practices supplied after 2020 orders were examined. | It does not prove every described practice remains unchanged in 2026. |
| Did every company violate the law? | The FTC identified widespread privacy weaknesses and incentives. | It is not a company-by-company adjudication of liability. |
| Are children and teens covered identically? | COPPA generally protects children under 13; the FTC urged stronger teen protections. | COPPA does not automatically cover all teenagers. |
| Is age verification mandatory? | The 2026 statement describes conditions for limited COPPA enforcement discretion. | It does not require nationwide age verification. |
Practical steps for users, parents and companies
For users
- Review account privacy, advertising-personalization and off-platform activity settings.
- Delete unused accounts and disconnect unnecessary third-party services.
- Ask what an age-verification provider collects, why it collects it, who receives it and when it deletes it.
- Do not assume account closure erases inferred profiles, advertising audiences, broker records or downstream copies.
For parents
- Check whether a service is directed to children and what parental-consent process applies.
- Review deletion, retention and parental-control options.
- Ask whether age-verification information is isolated from advertising and identity profiles.
For businesses
- Document data maps, minimization decisions and retention schedules.
- Identify non-user data flows from contact uploads, pixels, brokers and advertising partners.
- Audit pixels and vendor disclosures for sensitive information.
- Separate age-verification data from advertising profiles.
- Define deletion procedures for backups, derived data, audiences, model datasets and downstream vendors.
- Record what data automated systems use, how they are tested and how opt-outs operate.
Privacy tools can reduce exposure but cannot force a platform to erase every inferred or shared record. A privacy-focused browser such as Brave or Firefox can block common trackers; DuckDuckGo can reduce some search tracking; and a VPN such as Proton VPN can obscure some network information. None makes a logged-in social-media account anonymous or removes data already held by a platform. Data-removal services such as DeleteMe and Incogni target data brokers, not necessarily social-network databases or derived profiles. Password managers such as 1Password and Bitwarden improve account security but do not stop advertising profiling.
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What to watch through August 2026
The clearest federal movement is in children’s privacy: the 2025 COPPA amendments and the 2026 age-verification policy. Broad adult data-minimization, retention and deletion duties still depend on legislation, state laws or case-specific FTC enforcement. The 2024 report is therefore best understood as a map of regulatory pressure points—not a ban, deadline or guarantee that Congress will enact a comprehensive privacy statute.
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