tech
An $18bn settlement is a drop in the ocean for Meta – but the tide will still come for it
This week’s settlement without liability was pragmatic, but it doesn’t change the inevitability of further lawsuits around the world
TL;DR
- Meta will pay $18 billion over a decade to settle claims regarding addictive product design and child safety on its platforms.
- Under-18s in the US will face default two-hour daily limits on Facebook and Instagram, with overnight access blocked unless parents adjust settings.
- Notifications will be muted during school hours, and teenagers will receive prompts about screen time.
- The settlement allows Meta to avoid admitting wrongdoing, which is crucial given potential future litigation.
- Meta's strategy shift is influenced by a significant court loss in New Mexico, which resulted in a $942 million judgment.
- A portion of the settlement is contingent on TikTok and YouTube implementing similar restrictions and payments.
- One state attorney general, Florida's, rejected the settlement as insufficient and plans to proceed with a trial.
- The settlement may encourage similar child safety measures in other countries like the UK and Australia.