Meta has agreed to pay almost $16.7 billion to 29 US states to settle claims that Facebook and Instagram were deliberately designed to make children addicted. The deal also forces new restrictions on teenage accounts, including a nightly lockout.
DR reports that the settlement appears in court documents filed Wednesday, citing Reuters. California, Colorado, Kentucky and New Jersey accused Meta of harming young people’s wellbeing by designing features that make children dependent on its platforms.
The sum corresponds to roughly 107 billion Danish kroner. California receives the most, up to about $2.2 billion, while New York receives up to about $1.13 billion, according to the documents cited by Reuters. Meta denies any wrongdoing as part of the agreement.
In a press release, the company calls the settlement an important step and urges YouTube and TikTok to follow. Beyond the payment, the deal requires Meta to launch several measures limiting how much children and teenagers use its services.
Under the court documents, users aged 13 to 17 will be locked out of Facebook and Instagram between midnight and 6 a.m. That is the first phase. In a later phase, the shutdown can be moved to run from 10 p.m. to 7 a.m.
Within one year, Meta must also introduce a new system for age verification. Today the company closes accounts when it is told a user is under 13. The new system requires Meta to actively seek out such accounts, and users may be asked to upload a passport, driver’s license or other approved identification.
Parents will be able to see teenagers’ screen time, set time limits and see who their child is chatting with. They must also be able to receive alerts about suspicious contact from adults and about searches related to suicide, self-harm and eating disorders.
Meta further commits to hiding like counts and removing cosmetic face filters, such as those that enlarge lips, raise cheekbones or lengthen eyelashes. The rules legally apply only to the participating states. Meta can choose to roll the features out nationally or globally, but whether that happens is not yet known.
The settlement must be approved by a court before it takes effect. In parallel, the European Commission published a preliminary finding on July 10 this year that Meta’s platforms are addictive for children and young people. Meta is being investigated for breaching the EU’s Digital Services Act and risks a fine of six percent of its global revenue.
The Commission told Reuters on Wednesday that it remains in dialogue with Meta in the case. Spokesperson Thomas Regnier said the Commission would not comment on the American settlement, but that Meta can still submit commitments in the EU case. A final decision is expected later this year.
Christel Schaldemose (S), vice president of the European Parliament, told DR that she welcomes the settlement and wants similar measures in European countries. She said the responsibility should be reversed, so tech companies must prove their platforms are safe for children rather than children learning to protect themselves. Denmark has separately debated restrictions on social media for children.
