Meta settles with states in landmark social media addiction trial

A landmark $18 billion settlement has been reached between Meta and 52 state attorneys general over accusations that the company designed social media products like Instagram and Facebook to be addictive for young users. The agreement, finalized on Wednesday, will implement several changes to how Meta's platforms operate for users under 18.

A default daily time limit of two hours will be imposed on young users, which they must request their parents to override. Meta has also agreed to stop displaying likes or reactions counts for this age group. An optional non-personalized feed will be made available, which will not use algorithms to target users with content designed to keep them scrolling.

The company will pay the settlements in installments over a decade. While Meta did not admit to any wrongdoing in agreeing to the settlement, the tech giant stated that partnering with state attorneys general sets a new industry standard. New Jersey Attorney General Jennifer Davenport praised the settlement, noting that it marks the first time a court has ordered such app changes.

The settlement prevents Meta from being ordered to pay $567 million as ruled in a separate case by the New Mexico attorney general, which the company plans to appeal. Florida Attorney General James Uthmeier criticized the settlement, calling it a "slap on the wrist" for a trillion-dollar company that has caused significant harm to children. The agreement must still receive court approval, but states not included in the deal are New Mexico and Florida.