Meta reaches $18 billion settlement over addictive social media algorithms

Meta Platforms has reached a historic out-of-court settlement with several U.S. states following lawsuits alleging the company intentionally designed its social media algorithms to encourage addictive behavior among minors.

Under the terms of the agreement, Meta will pay up to $18 billion. The settlement also includes measures to restrict the use of Facebook and Instagram by minors and an effort by the company to encourage competitors to adopt similar safety standards. The settlement was reached in a California federal court shortly before the expected testimony of CEO Mark Zuckerberg.