Meta reaches $16.7 billion settlement with US states over teen safety and addictive design

Meta reaches $16.7 billion settlement with US states over teen safety and addictive design

Family and advocates of young people that allegedly died from impacts of social media stand with a banner outside the Ronald V. Dellums Federal Building and U.S. Courthouse on August 18, 2026 in Oakland, California. Photograph: (AFP)

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Meta has agreed to a $16.7 billion settlement with US states over allegations of addictive design and child safety failures, while accepting new limits and safeguards for teenage users on Facebook and Instagram.

Meta has reached a settlement with US states and territories over a court case linked to child safety on Facebook and Instagram.

The Mark Zuckerberg-led tech giant will pay up to $16.7 billion to a coalition of US states and introduce sweeping new limits on how teenagers use its social media platforms. The agreement was filed in court on Wednesday and brings a landmark trial in California to an end.

The proposed settlement would resolve claims brought by 29 states. They accused Meta of deliberately designing its platforms to hook young users, misleading the public about the risks and unlawfully collecting data from children under 13.

The new restrictions on young users go further than any measures Meta has previously accepted. The changes follow years of criticism from parents and experts over the impact of major social media platforms on children.

Concerns over apps such as Instagram and Facebook, along with rival platforms including Snapchat and TikTok, have also led to the introduction of age limits and smartphone bans in schools across the world.

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Meta still faces other legal cases

The settlement does not cover thousands of personal injury claims against Meta in the United States or separate lawsuits filed by school districts.

The case involving the 29 states was among the most extensive legal challenges faced by Meta. The company had warned that losing the case in court could have exposed it to more than $1 trillion in penalties.

"Meta has agreed to make massive transformations that will reduce the risk of harm from its platforms -- and will do it within months," California Attorney General Rob Bonta said in a statement.

He described the outcome as "real change, real transparency, and real enforceable protections for children."

The court filing states that the settlement does not amount to an admission of liability or wrongdoing by Meta. The company has consistently denied the allegations. The agreement will also need court approval before it takes effect.

New limits for teenage users

The biggest changes under the agreement are not financial. Meta has agreed to introduce several new safeguards that will significantly change how teenagers use its platforms.

Under one measure, Facebook and Instagram will automatically block teenage users between midnight and 6:00 am local time.

Teenage accounts will also have a default limit of two hours of cumulative daily use across Meta's apps. Time spent messaging or watching long-form video will not count towards the limit.

Both restrictions could become stricter if other social media companies adopt similar measures.

Meta has presented the agreement as a possible framework for the wider social media industry and urged its competitors to follow the same approach. "Because teens move fluidly across dozens of apps, we need an industry-wide solution," said C.J. Mahoney, Meta's chief legal officer.

"We therefore call on our industry peers, TikTok and YouTube, to implement this new framework, right away."

If competing platforms agree to equivalent measures, the overnight block would be extended from 10 pm to 7 am. The daily usage allowance would also fall to 60 minutes per app, with a total limit of two hours.

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Driven by a deep interest in international politics and geo-economics, Ajaypal Choudhary writes on and analyses a wide range of subjects from geopolitics and the global economy to ...Read More