Meta joins a list of corporations that have settled cases for billions of dollars

Meta Platforms Inc. agreed Wednesday to pay up to $17.1 billion to settle a landmark lawsuit filed by 47 states, the District of Columbia, Guam, Puerto Rico and the Northern Mariana Islands alleging its platforms — Facebook and Instagram — were deliberately designed to addict children and teens. The proposed settlement, which requires court approval, resolves claims that Meta violated state consumer protection laws and the Children's Online Privacy Protection Act by collecting data on users under 13 without parental consent. The trial, which began last week in Oakland, California, before U.S. District Judge Yvonne Gonzalez Rogers, was cut short. The agreement includes a minimum $12.1 billion payment over 10 years, with an additional $5 billion contingent on other platforms like TikTok and YouTube agreeing to similar terms. Meta separately settled with Texas for over $1 billion, bringing its total payout to approximately $18 billion. The company denied wrongdoing and said the deal does not constitute an admission of liability. Meta reported $201 billion in revenue in 2025.