Meta is facing a major legal challenge in California over allegations that Facebook and Instagram were designed in ways that encouraged addictive behavior among children and teens. The case, brought by 29 state attorneys general, could have much bigger consequences for the company than its recent loss in New Mexico.
California Attorney General Rob Bonta and other prosecutors are seeking changes to features such as infinite scroll, autoplay and recommendation algorithms, as well as stronger protections for children’s data. A ruling against Meta could also lead to significant financial penalties. While Meta has pushed back, calling the claims unsubstantiated and the potential damages excessive, state officials argue the case could force the company to rethink parts of its business model.
The stakes are especially high because Meta relies heavily on advertising revenue to fund its growing AI investments. New Mexico has already ordered the company to pay nearly $1 billion, but officials say a California judgment could be far larger. Beyond the money, the biggest impact could be changes to how Facebook and Instagram are designed and how they recommend content to young users.
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