Tech giants TikTok and Apple are making some big changes to how they run their businesses. TikTok is paying a massive fine to settle a child privacy lawsuit, while Apple is cutting jobs on some of its newest projects.
TikTok has agreed to pay $400 million to settle a lawsuit with the US government. The government said the app broke a federal law designed to protect children's privacy online. TikTok allegedly let children under 13 make accounts, collected their personal data without permission, and ignored parents who asked to delete that data. To resolve the issue, TikTok will pay $300 million right away and $100 million later. The app has also updated its settings to give parents more control and better protect young users.
Meanwhile, Apple is laying off more than 200 employees. These job cuts affect workers on the teams for Siri and the Vision Pro headset. The Vision Pro is Apple's $3,499 headset for spatial computing, which is a technology that blends digital screens and images into the real world around you. This expensive headset has not been a huge hit since its launch in 2024. As a result, Apple is closing its headset gaming team and shrinking the team that makes immersive video content. Instead, the company is shifting its focus toward building lighter smart glasses by 2027.
These updates matter to you because they show how tech companies are reacting to what users and governments want. For families, the TikTok settlement means stronger safety features and better privacy controls for kids online. For tech fans, Apple's layoffs suggest that ultra-expensive headsets might not be the future. Instead, we are more likely to see simpler, everyday smart glasses in the coming years.
It is clear that even the biggest tech companies have to adjust their plans when things do not go as expected.