What Meta bought with its $18 billion settlement
Meta has agreed to an $18 billion settlement to resolve lawsuits alleging its platforms are addictive to children. While the company will implement new safety features for teen accounts, critics note that the settlement terms include significant loopholes and financial incentives tied to competitor behavior.
Why it matters
This historic settlement sets a precedent for how states regulate social media companies and highlights the ongoing tension between corporate profit and child safety.
Meta CEO Mark Zuckerberg Ed Mulholland/Zuffa LLC Meta's new restrictions on teen accounts come with some convenient exceptions. A version of this story appeared in the BI Tech Memo newsletter. Sign up for the weekly BI Tech Memo newsletter here . Last week, when Meta went on trial over allegations that Facebook and Instagram were designed to addict kids, I hunkered down for weeks of testimony from executives, including CEO Mark Zuckerberg. Just eight days later, it was over. On Wednesday, Meta agreed to settle for up to $18 billion, cutting short a trial in which four states were seeking roughly $200 billion, and keeping Zuckerberg off the witness stand. The settlement is historic — the largest that a Big Tech company has ever paid to states. It's also easy money for Meta.
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