WASHINGTON: Technology giant Meta has agreed to an $18 billion settlement with the attorneys general of 48 US states over allegations that its social media platforms harmed children and encouraged addictive use.
According to US media reports, the landmark settlement brings a major legal case over the impact of social media on children to a close and could usher in a new era of legal accountability for technology companies over content and features on their platforms.
Under the agreement, Meta will introduce major changes to Facebook and Instagram, including an automatic two-hour daily usage limit for users under 18.
The settlement includes a unique provision under which Meta will initially pay 70% of the settlement amount. The remaining 30%, estimated at about $5.3 billion, would be payable if TikTok and Alphabet-owned YouTube also agree to impose automatic one-hour daily limits on their apps for younger users and each pay states about $5.3 billion.
The settlement funds will be distributed annually over 10 years among the participating states based on their populations.
The agreement includes 48 states and four U.S. territories — the District of Columbia, Puerto Rico, American Samoa and the Northern Mariana Islands. New Mexico, which recently won a similar case against Meta, and Florida are not part of the settlement.
As part of the agreement, Meta will introduce a “Night Mode” that will automatically block the apps for younger users between midnight and 6 a.m.
A “School Mode” will also disable notifications during school hours, from 8 a.m. to 3 p.m.
More read, US states sue Meta over alleged harm to children from social media
According to the reported terms, these settings can only be changed with formal parental permission, giving parents greater control over how their children use the platforms.
