Meta agrees to multi-million dollar payment to settle lawsuits over child safety on its platforms
The company Meta, parent of Facebook and Instagram, has reached a significant legal settlement to close litigation involving 29 U.S. states. The company led by Mark Zuckerberg has committed to paying up to $16.68 billion, putting an end to accusations that pointed to its social networks for fostering addiction in minors and omitting risks to their mental health.
Although the agreement seeks to avoid a prolonged trial in a federal court in California, Meta has denied any legal liability. The company maintains that its decision is in response to the desire to resolve the judicial conflict, committing to implement strict protection policies for younger users.
New security and control measures
As part of the conditions to settle the lawsuit, Meta will implement a series of technological restrictions designed to safeguard teenagers and children:
- Age verification: Implementation of robust systems to confirm user age and delete accounts of children under 13.
- Time limit: Establishment of a default daily usage quota of two hours for teenagers between 13 and 17 years old.
- School and night mode: Silencing of notifications during school hours and usage restrictions during the early morning.
- Usage alerts: Sending automatic reminders after 15, 60, and 90 minutes of continuous browsing to encourage healthy breaks.
This agreement represents a fundamental step in the scrutiny that U.S. authorities maintain over big tech companies, focusing the debate on the impact of digital product design on the well-being of youth.
Market reaction
The news was well received by investors on Wall Street, where Meta shares experienced an increase of more than 3%. The markets interpreted the resolution as a positive signal for the company’s operational stability, by eliminating the uncertainty that an extensive and costly trial would have entailed.
The agreement, which was made public shortly after the appearance of Adam Mosseri, head of Instagram, before the authorities, remains subject to the final review and approval of a federal judge. If finalized, it would set a historic precedent in regulations regarding child privacy and social media design.
