What the settlement left out: Meta can still collect data from kids |
In August 2026, Meta agreed to one of the largest consumer protection settlements in American history. The settlement resolves claims from 47 states alleging that Meta intentionally designed its Facebook and Instagram platforms to be addictive to young users and harmful to youth mental health.
As part of the settlement, Meta agreed to pay up to US$17.1 billion – approximately 20% of Meta’s 2025 pretax profits – in penalties over the next 10 years. Meta also agreed to implement changes to its platforms for young users, including daily time limits, access restrictions during school hours and late nights, and “productivity breaks” that interrupt scrolling every 60 minutes.
The $17.1 billion penalty and promised changes to the platforms have grabbed the headlines. But, as a law professor who studies social media regulation, I believe that what the settlement does not include will prove more important to youth safety in the long run. The settlement does not restrict Meta from continuing to collect data from young users, from using that data to sell its targeted ads, or from serving those targeted ads to young users.
In short, while Meta agreed to some limited changes to safeguard young users, it also succeeded in protecting its surveillance-based business model.
Meta’s core business is advertising. It is the world’s second-largest digital advertising company by revenue and will soon overtake Google to........