Key Moments
- A bipartisan group of 29 U.S. states is taking Meta Platforms to trial over claims that Facebook and Instagram were deliberately engineered to be addictive for children and teens.
- Meta has said potential penalties could reach $1.4 trillion, while attorneys general have indicated they may seek an amount closer to $200 billion.
- The states are asking the court to force Meta to impose age restrictions, abolish infinite scroll, and implement other nationwide design changes to its platforms.
Trial Begins in California Federal Court
By Diana Novak Jones
Aug 18 (Reuters) – A high-stakes trial targeting Meta Platforms is set to open on Tuesday in federal court in California, where a coalition of states will argue that Facebook and Instagram were crafted in ways that damaged the mental health of young users.
Attorneys for Colorado, California, New Jersey and Kentucky, who are leading a bipartisan alliance of 29 states, are scheduled to deliver opening statements to an eight-person jury in Oakland. The jury is serving solely in an advisory role to U.S. District Judge Yvonne Gonzalez Rogers, who will ultimately render the key decisions in the case.
Core Allegations Against Meta
The trial will focus on allegations from the four lead states that Meta intentionally designed Facebook and Instagram to foster addiction among children and teenagers and misrepresented how safe the platforms were for young users. It will also address broader claims by all 29 states that Meta unlawfully collected and exploited children’s personal information while they were on the company’s platforms, in violation of federal law.
Meta’s legal team is expected to argue that the company has invested heavily in safeguarding minors online. The company has maintained that it did not issue misleading safety statements and that the states have not produced evidence of concrete harm to their residents.
Meta founder and CEO Mark Zuckerberg is expected to appear as a witness during the multiweek proceeding, along with Instagram head Adam Mosseri.
Scale of Potential Financial Exposure
Experts have described this case as the most significant courtroom test so far for lawsuits targeting youth social media use, with major implications for Meta’s business. The trial comes amid intensifying global scrutiny over how social media affects young people.
Meta has stated that potential penalties could reach $1.4 trillion, a figure that approaches the company’s $1.5 trillion market capitalization. At a recent hearing, attorneys general indicated they have not yet finalized the penalty amount they will seek but suggested it may be closer to $200 billion.
| Aspect | Detail |
|---|---|
| Number of states involved | 29 |
| Lead states | Colorado, Kentucky, California, New Jersey |
| Meta-stated maximum penalty exposure | $1.4 trillion |
| Amount suggested by attorneys general at hearing | Closer to $200 billion |
Sought Reforms to Facebook and Instagram
The attorneys general from Colorado, Kentucky, California and New Jersey are asking Judge Gonzalez Rogers to require Meta to implement structural changes across its platforms nationwide. Their requested measures include the introduction of age restrictions, the removal of infinite scroll, and other design modifications intended to alter how young users interact with the services.
In a statement made ahead of opening arguments, a Meta spokesperson rejected the states’ allegations and defended the company’s record on protecting teenagers.
“The AGs offer no proof anyone in their states was misled, claim benign features like having an additional Instagram account somehow harmed their residents, and attempt to penalize Meta for industry-wide challenges like age verification,” the spokesperson said. “Rather than sticking to the facts or the law, the states have instead decided to chase an outlandish payout.”
Origins in Multistate Investigation
The lawsuit, filed in 2023, grew out of a multistate probe into how Instagram and Facebook affect young people. That investigation was launched after disclosures by Meta whistleblower Frances Haugen, who told a U.S. Senate committee in 2021 that the company was aware its products could harm young users and knew ways to make them safer, but did not adopt those measures in favor of higher profits.
During the trial, the states are expected to present internal Meta documents and research, along with testimony from former Meta staff and expert witnesses.
Broader Legal and Regulatory Pressures
Meta, along with other major social media companies including Snap Inc, TikTok parent ByteDance and YouTube parent Alphabet, is contending with mounting scrutiny in legislative bodies and in the courts. The states’ complaint is part of a wave of thousands of lawsuits filed by states, municipalities, school districts and individual plaintiffs, all asserting that social media products harm young users.
Meta has warned that the surge of litigation could have a significant impact on its operations and financial performance.
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