Online platforms: educational children's content.
What changed between versions
Adds a new chapter (22.2.10) to Division 8 of the Business and Professions Code, creating the California Children's Digital Educational Content Act of 2026, which applies to 'covered platforms' - advertising-supported, non-subscription digital content or social media services with annual gross revenues exceeding $100 million that distribute video content to users in California.
Requires covered platforms to establish and maintain a 'walled garden' - a clearly designated section dedicated exclusively to educational children's content (original video programming for ages 2-16 that is socially, civically, or core-curriculum educational and complies with FCC standards). The walled garden must contain at least 4 hours of content at all times, be free from targeted advertising, provide age-appropriate navigation and safety features, display content consistent with FCC guidelines, and be accessible to minors without requiring account creation.
Requires covered platforms to submit annual compliance reports to the Department of Consumer Affairs by April 1, 2027, and annually thereafter. Authorizes DCA to conduct audits to verify compliance. Imposes administrative penalties up to $50,000 per day for each day a violation continues.
Defines key terms: 'covered platform' (revenue threshold of $100 million), 'educational children's content' (video for ages 2-16, educational in nature, FCC-compliant), 'minor' (under 18), 'platform' (advertising-supported, non-subscription digital content or social media service distributing video to California users), and 'walled garden' (dedicated section for educational children's content).
Fiscal committee review changed from 'no' to 'yes,' indicating the new regulatory and enforcement provisions now require fiscal analysis due to potential state costs of DCA oversight, audits, and regulation adoption.
The original nonsubstantive correction to Civil Code Section 1770(a)(24)(A) (changing 'any a prospective applicant' to 'a prospective applicant') is retained in the amended version.