Meta agrees to $18 billion settlement over youth harm lawsuits brought by US states

Meta, the owner of Facebook and Instagram, has reached a $18 billion deal to settle lawsuits from 29 U.S. states alleging its platforms harm children. The agreement, which could be extended to $18 billion if tech giants YouTube and TikTok adopt similar safety measures, requires Meta to implement new safeguards for teen users such as daily usage caps and overnight access blocks.

These changes are expected to be implemented within months. The settlement, which covers all 50 states plus the District of Columbia and three U.S. territories, ends a major federal trial in California, though Judge Yvonne Gonzalez Rogers has not yet approved the deal. She expressed willingness to grant it and has temporarily halted the trial while reviewing the terms.

The lawsuit, filed in 2023, accused Meta of violating federal and state laws and contributing to child harm through its platforms, which Meta denies. The settlement funds will go towards youth online safety initiatives and other state priorities. California Attorney General Rob Bonta hailed the settlement as a way to secure necessary changes more quickly than through prolonged litigation.

Most of the agreed-upon changes will be put in place within months. The deal affects 48 states, D.C., and three territories, with 51 states and territories collectively agreeing to a $17.1 billion settlement. Texas reached a separate $1 billion agreement, while New Mexico and Florida have opted out. Meta whistleblower Kelly Stonelake criticized the company for needing litigation to implement child safety measures, while experts cautioned that the implementation could be challenging, particularly in accurately identifying teenage users.