Meta Platforms is reportedly in discussions with state attorneys general to settle a landmark federal trial accusing the company of designing Facebook and Instagram to be addictive to teens. Bloomberg reported Tuesday, citing people familiar with the matter, that a mid-trial settlement is being negotiated. The trial includes consumer protection claims by California, Colorado, Kentucky, and New Jersey, and also covers claims by 29 states that Meta violated federal children's privacy protections by collecting data from children under 13 without parental consent. Meta has maintained that its platforms are non-addictive because social media addiction is not a recognized psychiatric disorder. Meta shares closed at $570.05 on Tuesday, up 1.97%, and fell 0.40% to $567.76 in after-hours trading.
Meta Platforms Inc.Meta is in talks to settle lawsuits over teen addiction and privacy violations, which could lead to fines and stricter regulations.
