META AGREES TO PAY UP TO $18B TO SETTLE SOCIAL MEDIA ADDICTION CASE WITH US STATES

Thu 27 August 2026:

US-based social media Meta has agreed to pay some $18 billion to settle claims brought by a coalition of dozens of state attorneys general alleging the company misled consumers about the potential harms its social media platforms pose to children and teenagers, the company said Wednesday.

The agreement would also require Meta to introduce a two-hour daily usage limit and nighttime blocks for teen users of platforms including Facebook and Instagram, strengthen age-assurance measures, and provide additional tools for parents and guardians, according to the company.

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“Today, we have secured a settlement with Meta that will make social media less dangerous for our kids and make a world of a difference for children and their families,” California Attorney General Rob Bonta said in a statement. “Meta has agreed to make massive transformations that will reduce the risk of harm from its platforms — and will do it within months.”

Meta said about $12.7 billion, or 70% of the settlement, would go to participating states, while the remaining $5.3 billion would be tied to similar measures and payments by TikTok and YouTube.

The agreement was disclosed during the second week of a federal trial in Oakland, California, over allegations that Meta designed its platforms to be addictive to young users and misled consumers about associated risks.

The litigation stemmed from a 2023 lawsuit brought by a coalition of 29 state attorneys general that accused Meta of misleading the public about risks associated with Facebook and Instagram and their effects on young users.

Eventually 52 attorneys general from US states plus the District of Columbia and US territories joined the effort.

The agreement remains subject to judicial approval.

-Source: AA

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