Friends Fiduciary supports a campaign to ensure the safety and well-being of children, specifically those using the new YouTube Kids app. FFC and a coalition of shareholders and investors – representing approximately 300 organizations and $100 billion of invested capital – signed a letter to Google Inc., owner of YouTube, to express our concerns and call for changes to the advertising practices being used in the YouTube Kids app.
The app fails to observe federal rules for children’s television programming that keep advertising to a minimum and ban product placements. Additionally, FFC and the coalition are concerned with the content of advertising in the app such as commercials for fast food, candy and toys. It appears the company did not institute adequate safeguards when developing this product aimed at children users. Further, the Federal Trade Commission (FTC) is reviewing complaints it received from children’s and consumer advocacy groups about the app, which raises other investor concerns. As stated on our letter to Google CEO Larry Page, “We are concerned about the risks [the app] poses to children, as well as attendant regulatory and reputational risks it poses to our company.” FFC believes companies must be sensitive to children’s vulnerabilities, and we urge, and expect, companies to keep foremost in their decisions the safety and welfare of children in the context of their goods and services. Additionally, we believe the FTC should apply and enforce existing rules for children’s television programming to all children’s content regardless of its method of delivery. To view the letter click here
