Meta has agreed to pay approximately $18 billion to settle a landmark multistate lawsuit accusing the social media giant of deliberately designing its platforms in ways that could encourage addictive use and harm young people.
The settlement, approved Wednesday by District Court Judge Yvonne Gonzalez Rogers, brings an end to a major legal battle involving allegations that Meta’s platforms, including Instagram and Facebook, exposed children and teenagers to harmful online experiences.
Under the agreement, more than $17 billion will go toward resolving a lawsuit filed jointly by 29 states in 2023. The remaining amount will settle related claims involving other states and territories. The funds are expected to support state youth online safety initiatives.
Beyond the financial settlement, Meta has agreed to introduce significant changes to its platforms for teenage users.
Among the measures is a two-hour cumulative daily limit across Meta’s apps for users aged 13 to 17. Parents will have the authority to modify the limit. Teens will also receive reminders after every 15 minutes of continuous use of Facebook or Instagram, encouraging them to take breaks and use the platforms more intentionally.
Meta will introduce a default night mode, restricting teen access between midnight and 6 a.m., as well as a school mode aimed at reducing notifications during school hours.
The company will also hide likes and reaction counts on teenagers’ posts by default, restrict certain extreme makeup filters for minors, and give young users greater control over autoplay and algorithmically recommended feeds.
The states had accused Meta of using features such as endless scrolling, algorithmic recommendations and frequent notifications to keep young users engaged for extended periods. They also alleged that Meta misled the public about the potential risks its platforms posed to children and improperly collected data from users under 13 without parental consent.
Meta, however, did not admit wrongdoing as part of the settlement. The company has consistently denied that its platforms cause harm to children and has argued that it has invested heavily in safety measures.
“Ensuring teens have a safe and productive experience on our platforms is an absolute imperative for Meta,” the company said in a statement announcing the agreement.
North Carolina Attorney General Jeff Jackson said the settlement would allow states to secure changes more quickly than continued litigation.
He described the agreement as the largest settlement involving a major technology company in history, arguing that prolonged court proceedings could have delayed the implementation of new child-safety measures for years.
The settlement comes shortly after Meta faced a major trial in California, where four states had reportedly sought as much as $1.4 trillion in damages alongside demands for changes to the company’s platforms.
Meta has also faced other legal setbacks. Earlier this year, the company was ordered to pay nearly $1 billion in a case brought by New Mexico’s attorney general. In another case involving a teenager identified as K.G.M., Meta and YouTube were jointly ordered to pay $6 million in damages.
Despite the settlement, Meta and other major social media companies continue to face hundreds of lawsuits filed by families, individuals and school districts alleging that their platforms contributed to harmful or addictive behavior among children.
Under the new agreement, Meta plans to pay 70% of the settlement fund over the next decade. The remaining 30% will be paid only if YouTube and TikTok agree to make payments to the states and implement comparable safety measures.
The agreement could therefore mark a major shift in how large social media platforms approach teenage users, placing greater emphasis on time limits, parental controls, reduced notifications and greater user control over algorithm-driven content, according to media reports.
