Meta Platforms has reached a settlement with states across the United States, agreeing to significant changes in Facebook and Instagram and a payment of up to $18 billion US. The settlement, resulting from allegations that the company intentionally designed the apps to create addiction among children, misled consumers about safety, and improperly collected personal data from children on its platforms, was reached during a California federal trial.
Despite agreeing to the settlement, the California-based company denied any wrongdoing. Colorado Attorney General Phil Weiser emphasized the importance of protecting children, stating that the relief obtained in the settlement exceeds any court orders issued or expected. As part of the settlement, Meta will impose restrictions on teenagers’ use of Facebook and Instagram for the next decade, limiting daily usage to two hours and blocking access between midnight and 6 a.m. unless parental consent is provided. These restrictions may be further tightened if other social media companies adopt similar terms.
Additionally, Meta will enhance measures to prevent children from accessing age-restricted content but is not required to discontinue personalized recommendations or targeted advertising. The settlement does not address certain problematic content identified by Meta researchers, including posts on Instagram that may affect users’ body image.
The total settlement amount, equivalent to about three to four months of the company’s profits, includes over $16.7 billion US in payments to various U.S. states and territories. Texas separately settled for more than $1 billion US. The settlement also resolves privacy-related lawsuits by several states over the Cambridge Analytica scandal.
U.S. District Judge Yvonne Gonzalez Rogers approved the main settlement, excluding Texas, and commended the progress made. The claims against Meta were part of a broader legal battle involving allegations of social media companies contributing to a nationwide youth mental health crisis. Numerous lawsuits against Meta and other social media giants are pending in federal and state courts, with ongoing scrutiny over their platform designs and impact on children and teenagers.
The settlement with Meta is seen as a significant development in the ongoing legal challenges surrounding social media companies and their impact on youth mental health.
