Meta has consented to massively overhaul Facebook and Instagram as part of a huge settlement with US states over claims that the social media platforms were engineered to be addictive for teenagers and expose young users to harmful content.
If approved by the court, the settlement would call for Meta to pay as much as $18 billion over 10 years. As part of the agreement, the company will implement enhanced protections for minors in the U.S. These plans will likely involve limiting the amount of time a child or young person can use them, limiting access at night, reducing notifications during school hours and limiting some features that could impact young users.
The settlement comes in the wake of a lawsuit filed by California and 28 other states in the United States. The states argued that Meta intentionally built elements into Instagram and Facebook to make sure users are engaged for extended durations, possibly leading to issues including anxiety and other mental well-being issues. They also claimed that the company was gathering data from children without proper consent of their parents, which was done without their consent, possibly in violation of federal and state laws.
According to the terms of the deal, Meta is not admitting any wrongdoing. The settlement is still significant, though, in terms of the ways the company will operate its platforms for teenage users. It’s also notable that it could lead to changes in features that would be used by millions of people, and not just financial penalties.
The case was being heard in federal court in Oakland, California and was originally slated for several weeks. The trial was adjourned after just four days; the parties agreed. Testimony and evidence had been presented during the proceedings about the company’s efforts to protect children and the success of its current safeguards for children under 18.
As Meta and other social media giants are increasingly targeted by lawsuits in the US due to their effects on kids and adolescents, the settlement arrives as a potential solution. Thousands of families, schools, individuals and government authorities are suing Meta, YouTube, TikTok and Snap.
Social media giant Meta has agreed to $18 billion and add stronger child-safety measures to Facebook and Instagram platforms as part of a historic settlement related to teen social media addiction. Some of the proposed changes include limiting the accounts of kids to just 2 hours… pic.twitter.com/98cSNbo9mf
— CiVL Dispatch (@CiVLDispatch) September 3, 2026
The companies have been increasingly under scrutiny over the need for adequate age restrictions and safety measures for young players. In fact, there have been several cases, with settlements or court rulings already in place, which are now putting pressure on the industry to improve the protection of these users.
Meta’s newest deal may therefore have ramifications that are deeper than just Facebook and Instagram. As teens are active on various social media platforms, there is an increasing call for regulators and legislators to have a common set of industry-wide standards for online safety. The settlement could be a major factor in a broader discussion about the design and regulation of platforms that are used by children and teens.