Meta has reached a landmark $18 billion settlement with 29 US states over child safety on its platforms, while penalties could have reached $1.4 trillion. The company does not have to admit wrongdoing and roughly a third of the fine is contingent on competitors adopting similar measures. Internal documents revealed that Meta officials knew Instagram was harmful to teenage girls and chose not to disclose it. While financially favorable with annual payments representing less than 1% of its 2025 revenue, the settlement does not resolve Meta’s fundamental trust problem with the public.
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