Meta settles with US states over social media harms
Meta Platforms reached a settlement to resolve claims brought by states across the country that the company designed Instagram and Facebook to addict children, misled consumers about their safety, and improperly collected personal data of children who used its platforms, court papers show.
Meta Platforms has settled a lawsuit brought by 29 US states over allegations that the company's design of Instagram and Facebook led to addiction among children, misleading consumers about safety concerns, and improper collection of personal data from minors. The settlement was reached just days before jury selection was to begin in a federal trial in California.
The claims, which also covered violations of federal laws and the Children’s Online Privacy Protection Act, came from the attorneys general of California, Colorado, Kentucky, and New Jersey. The states had sought up to $1.4 trillion in penalties, though they later indicated the figure was closer to $200 billion. In addition to monetary damages, the states demanded major changes to Meta's platforms and a ban on children creating accounts.
Meta has denied the allegations, stating it has worked to protect children on its platforms. The lawsuit is part of a broader wave of litigation targeting Meta and other social media companies over alleged harm to young users' mental health. The case came after Meta lost both phases of a landmark lawsuit in New Mexico, where it was ordered to pay $375 million for misleading consumers about platform safety.
A judge also found Meta created a public nuisance, ordering it to pay an additional $567 million and implement youth safety measures. The settlement follows similar verdicts in other jurisdictions, with companies choosing to settle ongoing cases rather than risk higher financial penalties.
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