Meta Platforms has agreed to extensive modifications to Facebook and Instagram and to pay up to $18 billion US to settle allegations brought by states across the United States. The claims asserted that the company intentionally engineered the apps to entice children, provided misleading information about their safety, and improperly gathered children’s personal data on its platforms.
The resolution was reached during a California federal trial, which stood as one of the most prominent examinations of accusations that social media entities negatively impacted young users. While Meta, headquartered in California, refuted any wrongdoing, it agreed to the settlement terms.
Colorado Attorney General Phil Weiser emphasized the importance of safeguarding children in a statement, noting that the settlement’s provisions exceed typical court mandates. Under the agreement, Meta will limit teenagers’ daily use of Facebook and Instagram to two hours and block access from midnight to 6 a.m. unless approved by parents. These restrictions may be strengthened if other social media platforms implement similar regulations.
Moreover, Meta will bolster measures to prevent minors from accessing age-restricted content. Notably, the settlement does not mandate Meta to abandon personalized recommendations or targeted advertising, nor does it address certain problematic content identified by Meta researchers.
The payout, equivalent to around three to four months of Meta’s profits, underscores the company’s commitment to ensuring a safe online environment for teenagers. The settlements encompass over $16.7 billion US paid to 47 U.S. states, Washington, D.C., Puerto Rico, American Samoa, and the Northern Mariana Islands, with Texas reaching a separate $1 billion US settlement.
The settlement, finalized on Wednesday, also resolves lawsuits by California, Illinois, New Mexico, and Washington, D.C., concerning privacy issues linked to the Cambridge Analytica scandal. Legal experts view this settlement as significant in prompting changes within the social media industry and reducing engagement on platforms like Instagram and Facebook.
U.S. District Judge Yvonne Gonzalez Rogers endorsed the primary settlement, excluding Texas, commending the agreement as a positive step forward. The allegations against Meta and other social media companies have fueled concerns about youth mental health and prompted legal actions nationwide.
Moving forward, Meta, Snapchat, YouTube, TikTok, and their parent companies face numerous lawsuits at both federal and state levels over allegations of intentionally designing addictive features for minors. These ongoing legal battles underscore the evolving landscape of social media regulation and accountability.