Meta's $18 billion teen safety deal: What changes for Facebook and Instagram users?

Edited By: Warda Zain
Representational image | Photo: Getty Images
Representational image | Photo: Getty Images

Meta has agreed to a landmark settlement worth up to $18 billion with US states over allegations that Facebook and Instagram were designed to keep teenagers hooked and failed to adequately protect young users. The deal also brings major changes to how teens can use Meta's platforms.

So, how will the new rules affect teenage users? Instagram and Facebook accounts will face a default two-hour daily limit, along with an automatic overnight lockout from midnight to 6 am. The settlement also includes 10 years of independent monitoring as Meta faces wider scrutiny over child safety on social media.

What is the Meta settlement?

Meta has reached agreements with US states that could cost the company around $18 billion over the next decade. The settlement resolves claims that Meta deliberately designed its platforms to keep young users engaged, misled the public about risks to children and unlawfully collected data from users under 13.

The agreement covers 29 states in the main case, while Texas reached a separate settlement. The deal was approved by a federal judge, although it does not constitute an admission of wrongdoing by Meta.

What changes for teenagers?

The most significant part of the agreement involves new restrictions on teen accounts.

Under the settlement:

Teenagers will be automatically blocked from Facebook and Instagram between midnight and 6 am local time.

Their accounts will generally be limited to two hours of cumulative daily use across Meta's apps.

Messaging and watching long-form video will not count towards the two-hour limit.

The measures will apply to teenagers in the states covered by the agreement.

If competing platforms such as TikTok and YouTube adopt equivalent measures, Meta's proposed framework could expand further, including a 10 pm to 7 am overnight block and a 60-minute limit per app, subject to the agreement's conditions.

Why is the deal significant?

The settlement goes beyond a financial payout. Meta has agreed to substantial changes to how its platforms operate for teenagers, following years of criticism over social media's impact on children and adolescents.

An independent auditor will monitor Meta's compliance for 10 years, with the company responsible for the cost.

The settlement payments will be made in 10 annual instalments. California could receive between $1.5 billion and $2.1 billion, while New York could receive up to $1.13 billion.

Meta still faces other lawsuits

The settlement does not end Meta's wider legal exposure. The company continues to face thousands of personal injury claims and lawsuits brought by school districts.

The states' case had been considered particularly significant because a loss at trial could potentially have exposed Meta to more than $1 trillion in penalties.

The agreement came during the second week of the trial. Instagram chief Adam Mosseri testified before the settlement and acknowledged promoting teen safety tools without disclosing low adoption rates during early testing.

Meta has consistently denied the allegations and said the settlement does not amount to an admission of liability or wrongdoing.

The agreement marks a major shift from voluntary safety measures towards enforceable restrictions on teenage social media use. Its importance lies not only in the potential $18 billion payment but also in the decade-long independent monitoring and limits on when and how teenagers can use Meta's platforms.

The settlement could also influence wider debates over age verification, screen-time limits and the responsibility of social media companies for protecting young users. However, its direct requirements apply only to teenagers covered by the participating US states and do not automatically extend internationally.