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Meta Settles Teen Addiction Lawsuit for $23 Billion

By Editor • August 26, 2026 • 1 min read

In a significant resolution to a high-profile lawsuit regarding social media addiction among teenagers, Meta has agreed to pay $17 billion (approximately AUD$23.6 billion). This settlement aims to address claims from 47 states and implements additional safety measures on its platforms, Facebook and Instagram.

The agreement comes just as Meta CEO Mark Zuckerberg was set to testify in federal court in California. The lawsuit, involving 29 states including California, Colorado, Kentucky, and New Jersey, accused Meta of deliberately designing addictive features that adversely affect youth mental health.

Attorney General Jay Jones from Virginia described the settlement as one of the largest in state consumer protection history, emphasizing the need for accountability. “For years, Meta intentionally deceived the public about the addictive and harmful design features that have wreaked havoc on youth mental health,” he stated, adding that the settlement would effectively halt these detrimental practices.

Besides the financial compensation, Meta has committed to implementing a series of new child-safety features. This includes a limit on daily time usage for young users, the elimination of push notifications during school hours, and stronger parental controls alongside age-appropriate content filters to combat bullying and harmful topics.

The lawsuit stemmed from a bipartisan investigation revealing that Meta had been aware of the negative impacts of Instagram on teenagers, particularly concerning mental health and body image, as early as 2021. Former Meta employees have raised concerns that the company's safety measures may not be sufficient, citing a culture that prioritizes profit over user safety.

As the trial progresses, Meta continues to face scrutiny over its practices, and the recent settlement marks a pivotal moment in addressing the growing concerns about social media's impact on youth.

Source: www.abc.net.au

#child safety #Meta #settlement #social media #teen addiction

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