Meta is set to face a high-stakes California trial over allegations that its platforms harmed children, with states seeking up to $1.4 trillion in penalties and changes to how Facebook and Instagram operate.
A high-stakes trial against Meta Platforms in a California federal court is about to commence, with states seeking billions of dollars in damages over the alleged harms caused by social media to children. Attorneys general from California, Colorado, Kentucky and New Jersey are seeking financial penalties that could, in theory, total as much as $1.4 trillion, along with changes to how the company operates Facebook and Instagram.
Social media giant Meta has been sued by 29 states over child safety and privacy concerns, with the other 25 states expected to go to trial later. Meta also faces several other lawsuits in state courts.
Reason Behind the Lawsuit
The plaintiffs have accused the social media giant of contributing to a youth mental health crisis by deliberately designing features that were addictive to children. They also allege that Meta routinely collects data on children under 13 without parental consent, in violation of federal law.
The proceedings will be overseen by Judge Yvonne Gonzalez Rogers in Oakland and are expected to last six to eight weeks, with testimony from Meta CEO Mark Zuckerberg, other executives and former employees. Gonzalez Rogers, who was appointed to the bench by President Barack Obama in 2011, has overseen several complex, high-profile cases involving Big Tech. In the past, she served as counsel in Elon Musk’s lawsuit against OpenAI and its founders and presided over Epic Games’ lawsuit against Apple over the App Store.
Given the widespread implications and potential damages for Meta, experts have described the trial as the biggest test yet of youth social media litigation. It comes amid a broader reckoning around the world over the impact of social media on young users. Meta has said the penalties could be as high as $1.4 trillion, close to the company’s market capitalisation of $1.5 trillion.
The attorneys general have yet to specify the penalties they are seeking, but said at a hearing last week that the total amount could rise to nearly $200 billion. Attorneys general from Colorado, Kentucky, California and New Jersey are also asking the judge to order Meta to introduce age restrictions, eliminate infinite scrolling and make other changes to its platforms nationwide. Meta, however, has rejected the states’ claims as unsubstantiated and defended its record of providing strong protections for teens.
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