Meta, the owner of the social media platforms Facebook and Instagram, settled a landmark lawsuit on Wednesday brought by a coalition of dozens of U.S. states over allegations of social media addiction.
The proposed settlement includes a monetary payment of up to 17 billion U.S. dollars to the states over 10 years -- California alone will receive between 1.5 billion and 2.1 billion dollars if this settlement is approved by the court, according to a statement released by Rob Bonta, the attorney general of California.
The agreement resolves claims by 47 states and the District of Columbia, Puerto Rico, American Samoa, and the Northern Mariana Islands that the company designed its platform with addictive features, knowingly exposed young users to serious mental harms, and intentionally misled the public about the safety of its platforms, among other things.
California was among the states that filed a lawsuit against Meta in 2023. The trial began on Aug. 18 in the U.S. District Court for the Northern District of California.
The settlement, subject to court approval, provides for strong injunctive terms designed to help protect children from the mental health harms associated with social media, including default daily time limits on social media and a block on overnight use that can only be lifted by a parent, enhanced parental supervision tools, robust age assurance measures to detect users under 18 and children under 13 that are on the platform, and the appointment of an independent auditor to oversee compliance, the statement added.
Meta agrees to pay up to 17 bln USD in settlement over social media addiction claims
