Meta has agreed to pay up to $18 billion and make major changes to Facebook and Instagram as part of a landmark US settlement over allegations that its platforms harmed children and teenagers.
The agreement brings an early end to a major trial in California and will introduce new protections for younger users across the United States. These include daily time limits, restrictions on overnight use and fewer notifications during school hours.
The money will be paid to the states over 10 years and can be used to support youth online safety initiatives as well as other state priorities.
Meta denies wrongdoing.
Why did Meta agree to the settlement?
The case was brought by US states that accused Meta of deliberately designing Facebook and Instagram in ways that encouraged children and teenagers to keep using them.
The allegations focused on features designed to drive engagement and compulsive use, as well as claims that Meta collected information from children under 13 without the required parental consent.
A major trial began in California in August and had been expected to last several weeks.
Instead, the proceedings ended after just four days when Meta reached a settlement with the states.
What will change on Facebook and Instagram?
Perhaps the most significant part of the settlement is not the money Meta has agreed to pay, but the changes it will make to Facebook and Instagram.
For users under 18, the new protections include:
- A default daily usage limit of two hours
- Default restrictions on using the apps between midnight and 6am
- Most notifications switched off during school hours
- Changes to visible “like” counts
- Restrictions on cosmetic surgery filters
- Greater parental controls
- An option to use feeds that are not based on personalised recommendations.
Parents will be able to change some of these settings.
Meta will also have to strengthen the way it identifies younger users. This includes improving systems designed to detect children under 13 and making it easier for people to report accounts belonging to underage users.
An independent auditor will monitor Meta’s compliance with parts of the agreement.
Meta has argued that protecting teenagers requires action across the industry rather than changes to Facebook and Instagram alone. The company has called on TikTok and YouTube to introduce similar protections, with part of the maximum $18 billion settlement linked to competitors adopting similar measures.
Meta still faces other social media lawsuits
The settlement does not bring an end to the wider legal battle over social media harms in the United States. Meta, YouTube, TikTok and Snapchat continue to face lawsuits brought by individuals, families, schools and public authorities.
Earlier this year, Meta and YouTube lost a landmark California case brought by a young woman who said prolonged social media use during childhood contributed to serious mental health difficulties. A jury awarded $6 million in damages. Meta and Google, YouTube’s owner, are appealing.
Meta was also ordered to pay a total of $942 million in a separate New Mexico case concerning child safety. Meta disputes that ruling and is appealing.
Why this matters in the UK
The settlement only applies in the United States. It does not create new rights to compensation for Facebook or Instagram users in the UK.
But the issues at the centre of the case are also being debated here.
The UK government plans to ban under-16s from major social media platforms, with the first protections expected to come into force in spring 2027. It has also announced default overnight restrictions for 16- and 17-year-olds, with autoplay and personalised feeds switched off by default.
Separately, at least one UK law firm is investigating whether people who were harmed by social media as children could have grounds to seek compensation in the UK.
At Join the Claim, we’re tracking developments around social media safety, children’s privacy, platform design and potential legal action in the UK. Visit our Social Media Safety & Online Harms information hub for the latest developments.
If you or your child experienced problems linked to excessive social media use, you can also find out more about the potential Social Media Addiction Claim and register to stay informed.
Join the Claim connects consumers with SRA-regulated lawyers. Visit the claim page to check your eligibility if a claim is open with one of our trusted legal partners. If a group action has not yet been launched, you can register your interest and we’ll keep you informed if a partner firm decides to take a claim forward.
