Meta Agrees to Pay $18 Billion, Limit Teen Social Media Use

Meta Platforms has agreed to pay up to $18 billion over the next decade and implement sweeping new restrictions on how teenagers use Facebook and Instagram, settling a landmark lawsuit brought by nearly all U.S. states. The agreement, announced on Wednesday, August 26, 2026, resolves claims that the company deliberately designed its social media platforms to be addictive to children and misled the public about their safety. The settlement ends a federal trial in Oakland, California, that had begun the previous week. Under the terms of the deal, Meta will impose a default two-hour daily time limit for users under 18 across both Facebook and Instagram.