Meta Settles Child-Safety Case for $16.7bn

Meta has reached a $16.7bn settlement with a coalition of US state attorneys general over allegations that Facebook and Instagram harmed children’s mental health and that the company misrepresented those risks.

The proposed agreement requires Meta to introduce measures including daily usage limits and nighttime restrictions for teenagers, stronger age-assurance measures and additional parental controls, according to CNBC.

California could receive between $1.5bn and $2.1bn if the settlement is approved by the court. Texas, which was not part of the group settlement, separately agreed to a $1bn payment.

Meta said the broader agreement involves approximately $18bn in payments over 10 years, with the money intended to fund youth online-safety initiatives. Participating states are due to receive about $12.7bn, or 70%, while the remaining $5.3bn is conditional on YouTube and TikTok adopting similar protections and making matching payments.

The agreement is Meta’s largest settlement to date. The company still faces separate lawsuits from school districts and individuals seeking compensation for alleged harm caused by social media platforms.

(max)