Meta ordered to pay $18 billion over child addiction and privacy claims

Meta has been ordered to pay $18 billion in a settlement with 47 U.S. states following allegations that Facebook and Instagram were designed to addict children and manipulate their attention. The legal action, brought by state attorneys general, alleges that Meta violated the Children’s Online Privacy Protection Act (COPPA) by failing to protect the privacy of users under 13 and by using algorithms designed to maximize engagement through dopamine-driven mechanisms.

The settlement requires Meta to implement a new age assurance framework. This framework must include specific accuracy and testing standards, such as false-positive thresholds as low as 3 percent, anti-spoofing protections, and requirements to delete age-related data once it is no longer necessary.

This ruling sets a significant precedent for the technology industry, potentially reshaping how social media platforms approach age verification and minor safety. The settlement's requirements may influence global regulatory efforts to balance user privacy with the need to identify underage users on digital platforms.