Mark Zuckerberg’s Meta agreed to pay roughly $18 billion to settle a lawsuit brought by 29 states over allegations that Facebook and Instagram harmed children through addictive design.
NBC News reports that the settlement, which still needs a judge’s approval, came one day after Instagram chief Adam Mosseri testified in a California courtroom. Meta CEO Mark Zuckerberg had also been expected to take the stand before the deal was reached.
In a statement, Meta said “the agreement includes a payment of approximately $18 billion, which can be used to fund youth online safety initiatives, among other state priorities.” The company said the deal is part of a broader agreement with 52 attorneys general nationwide, extending well beyond the 29 states that sued in California.
Meta did not concede wrongdoing. A court filing states the company “denies the allegations against it and that it has any liability to the Plaintiffs.”
Attorneys general from California, Colorado, Kentucky, New Jersey and other states had accused Meta of designing addictive products that harmed children and of violating federal privacy and consumer protection laws. Meta pushed back, arguing the states were cherry-picking features while ignoring safety tools it already offers, including teen accounts that default to private, time-limit reminders, parental supervision options, and restrictions on who can contact minors and what content they see.
Under the settlement, Meta will build in daily limits and nighttime blocks for teenage users. The court filing says the company “commits to establishing daily limits and blocks on nighttime use for teenage users.” Teen accounts on Facebook and Instagram will default to a combined two-hour daily use limit, and teens will need parental permission to turn that limit off.