Facebook, Instagram agree to $17B settlement in states' suit

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(The Center Square) – A bipartisan coalition of state attorneys general, including California’s Rob Bonta, have announced a $17 billion settlement with Meta Platforms Inc., the parent company of Facebook and Instagram, in a lawsuit over risks to youth.

The announcement comes after a federal trial was underway in Oakland, where Bonta et al. filed the lawsuit and had made opening arguments.

Speaking to reporters in a video news conference Wednesday, Bonta called the settlement a watershed moment.

“When it comes to protecting our children's mental health, there is no time to lose,” said Bonta.

In their lawsuit, the state attorneys general argued that Meta designed addictive, harmful features on Instagram and Facebook that drive excessive youth use, leading to severe mental and physical harm. The attorneys general also claimed Meta unlawfully collected data from children under 13 and misled the public about platform safety.

The suit was filed in 2023.

As part of the settlement, Meta has agreed to many changes that will be implemented over the coming months.

Examples include:

- Default two-hour daily time limit for users under 18. That drops to 1 hour if other platforms commit to similar terms.

- Default access blocks from midnight to 6 a.m.

- Notification blocks overnight (10 p.m.–7 a.m.) and during school hours.

- Removal of cosmetic/plastic surgery filters and option for non-personalized feeds.

- Removal of public "like" counts on teen posts.

- Enhanced tools for parental supervision, age assurance and removing users under 13.

- The review of 90% of user-reported harmful content within six hours.

- An independent auditor monitoring Meta's compliance.

Meanwhile, Meta will pay up to $17 billion over 10 years to participating states. California alone will receive $1.5 billion to $2.1 billion, the highest amount being paid to any state.

The Center Square asked Bonta what California would do with its money.

“It's generally going to be used for abatement and mitigation efforts to address the problem of social media harms to the mental health of children,” Bonta told The Center Square. “So it will help reduce the harm to children, help address those mental health issues that I've talked about from anxiety and depression to body image issues, to addictive tendencies, to learning loss.”

Bonta stressed that California wants innovative companies to continue to grow in the state, contribute to the economy and employ people. However, Bonta said, "Innovation is not a free pass to do as you please and hurt people” along the way.

Bonta also thanked the bipartisan coalition of attorneys general for their work in the lawsuit. He added that “bipartisan is not something you hear too often” these days.

“It speaks to the fact that protecting our children isn't and should not be political,” said Bonta. “It's a priority. It's our duty. It's a North Star for us."

Arizona Attorney General Kris Mayes agreed.

In a separate press conference later Wednesday morning, Mayes said that one day people will look back on this as the beginning of what the Democrat called the “bad old days when children had unfettered access to products designed to addict them and expose them” to harm.

“This is the most important thing I think I will ever do as attorney general,” said Mayes. “Lives will be saved. Suicides will be prevented.”

Mayes also mentioned that she prayed about this Wednesday morning.

“I don’t talk this way very often,” said Mayes, referring to discussing her faith publicly. “I said, ‘Thank you, God, for the fact that we won this settlement.’ ”

Arizona is slated to get up to $301 million, according to the U.S. District Court for the Northern California. Elsewhere, Nevada will receive up to $255 million, and Colorado, close to $615 million.

“The relief we are getting in this settlement is very meaningful and well beyond what any court has ordered or is likely to order,” Attorney General Phil Weiser said in a statement Wednesday.

“The focus of this case was to protect our kids — stopping notifications and alerts at night and when they are in school, encouraging them to take breaks from social media, protecting them against harmful features, implementing age assurance technology, and more," Weiser said. "Today’s action is an important step forward, and I welcome Meta’s decision to accept responsibility and to collaborate with the multi-state coalition to protect kids who deserve better.”

Colorado co-led the lawsuit against Meta with California, Kentucky and New Jersey. Twenty-nine states are getting the settlement funds.

Texas is receiving a separate $1 billion payment from Meta in a separate lawsuit.