Smaller online players face uncertain future over children's privacy rules

07/8/2013 | Adweek

Many smaller websites and applications with young audiences are struggling to make sense of new online privacy rules for children and may close up shop altogether to avoid compliance headaches, advertising industry members say. Compliance costs for new operators could total as much as $18,670 a year, according to Federal Trade Commission estimates. "A lot of small to midsize companies don't want to deal with Washington. Their first question is, 'How do we structure this so we don't have to deal with this,' " said Wilson Sonsini Goodrich & Rosati partner Lydia Parnes.

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