Meta has agreed to pay up to $16.7 billion to settle a landmark case brought by several US states over allegations that its social media platforms harmed young users.
The proposed settlement, filed in a federal court in California on Wednesday, would also introduce major new restrictions on how teenagers use Facebook and Instagram.
The case centred on allegations that Meta deliberately designed its platforms to keep young users engaged, misled the public about risks to children and unlawfully collected data from users under the age of 13.
California Attorney General Rob Bonta described the agreement as a major victory for child safety, saying it would bring significant changes to Meta’s platforms within months.
Meta Denies Wrongdoing
Despite agreeing to the settlement, Meta has not admitted liability or wrongdoing.
The company has consistently denied the allegations, while the proposed agreement still requires approval from the court before it can take effect.
The financial payment is only one part of the agreement. Some of the most significant changes will affect how teenagers access and use Meta’s platforms.
New Limits For Teen Users
Under the proposed settlement, Facebook and Instagram would introduce a default nighttime restriction that locks teenagers out of the platforms between midnight and 6:00 a.m. local time.
Teen accounts would also be limited by default to two hours of cumulative daily use across Meta’s apps.
The measures are aimed at reducing excessive social media use among young people and addressing concerns about the potential impact of the platforms on teenagers.
Settlement Ends Landmark Trial
The agreement brings the trial to an end during its second week.
During the proceedings, Instagram head Adam Mosseri testified that he had promoted newly introduced safety tools for teenagers without disclosing that early testing had shown low adoption rates.
Other witnesses also alleged that Meta was aware some of its safety measures were ineffective.
Meta founder and CEO Mark Zuckerberg had been expected to testify during the trial.
If approved by the court, the settlement will mark one of the biggest legal agreements involving social media companies and child safety in the United States, while forcing Meta to make significant changes to how its platforms operate for younger users.
