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[BUSINESS] · United States · 21 sources

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TikTok to pay Alabama at least $100 million in teen safety settlement

TikTok and its parent company ByteDance have reached a settlement with the state of Alabama to resolve a lawsuit alleging the platform used addictive features and misled the public about safety protections for minors. The agreement, announced just days before a trial was set to begin in Montgomery, requires TikTok to pay Alabama a minimum of $100 million within 45 days. The total payout could reach $300 million if specific conditions are met, such as other state attorneys general joining similar agreements.

As part of the settlement, TikTok will implement several new safeguards for teen users in Alabama. These include a mandatory two-hour daily usage limit, overnight access restrictions between midnight and 6 a.m., and mandatory pauses after 15, 60, and 90 minutes of continuous use. The platform will also ban cosmetic filters for teenagers, set teen accounts to a non-personalized feed by default, and enhance parental controls and age-verification protocols.

Alabama Attorney General Steve Marshall described the settlement as a victory for parents, stating it provides real protections to shield children from social media addiction. The lawsuit had previously alleged that TikTok's algorithm contributed to a mental health crisis by exposing young users to harmful content.

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Alabama · Alabama Attorney General’s Office · ByteDance · Montgomery · Steve Marshall · TikTok

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