Meta to Pay Texas over $1 Billion, Agree to New Protections for Children Online
The deal adds stricter age checks, a two-hour daily teen limit and school-hour notification blocks as Meta ends the trial.
- On Wednesday, Attorney General Ken Paxton announced that Meta will pay over $1 billion to Texas to settle a child-safety lawsuit, marking his second such agreement with the social media company.
- The settlement follows Meta's tentative agreement to a $17 billion payout resolving a separate lawsuit brought by a consortium of states, though Texas was not part of that 33-state case.
- Meta agreed to implement structural remedies including a daily two-hour usage limit for teens and nighttime blocks from 12am-6am, which analyst Brian Pitz at BMO Capital Markets noted may impact ad load.
- Shares of Meta rallied about 1.5% in late trading Wednesday, rising above $578, as Jefferies analyst Brent Thill called it a "big clearing event opens the door for the stock."
- Despite the resolution, analyst Paul Gallant of Cowen warned the settlement does not cover thousands of individual mental health claims, with lawsuits from users and School Districts potentially proving "meaningfully more expensive.
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Meta to give Texas over $1 billion in settlement to protect kids online
EL PASO, Texas (KVIA) -- Wednesday, Texas Attorney General Ken Paxton said Texas will get more than $1 billion as part of a settlement with Meta to protect children on its platforms. Wednesday, Meta agreed to an $18 billion settlement to resolve claims that it intentionally designed addictive platforms and harmed young people's mental health. The post Meta to give Texas over $1 billion in settlement to protect kids online appeared first on KVIA.
Texas Wins $1B+ Meta Settlement Requiring Age Checks And Restrictions
Texas Attorney General Ken Paxton has reached a settlement with Meta Platforms, Inc., worth more than $1 billion, requiring the company to pay the state and adopt new safety measures to protect children on its platforms. The agreement directs settlement funds toward youth mental health services, crisis resources, digital literacy programs, after-school initiatives, and grants for Texas schools, according to a press release announced by the attor…
The Texas Tribune
Meta to pay Texas $1 billion in child safety case
As part of Texas’ settlement, the tech giant behind Facebook and Instagram will apply stricter age verification measures and institute a daily two-hour limit for teens.
Meta to pay Texas over $1 Billion, agree to new protections for children online
Texas Attorney General Ken Paxton announced a settlement with Meta Platforms, Inc. that he says will provide more than $1 billion to the state while requiring the company to implement new safeguards aimed at protecting children on its platforms.
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