Meta reaches $17.1 billion settlement with Wisconsin, other states over teen social media use

MILWAUKEE (CBS 58) — A new $17.1 billion settlement between Meta, Wisconsin and dozens of other states could change how teens use Instagram and Facebook.

Wisconsin is set to receive $219 million through the agreement and could receive up to $313 million if certain conditions are met.

"These numbers make this the largest big tech settlement in the history of the country," Wisconsin Attorney General Josh Kaul said.

The agreement requires Meta to make several changes to how children and teenagers use its platforms.

"These changes are not only going to help reduce harms for our kids' mental health online, but I hope they can set a new standard for the entire industry," Kaul said.

The changes include daily time limits, mandatory "productive pauses" during extended use, nighttime blocks, limits on notifications during school hours and stronger age-assurance measures.

The settlement also calls for stronger parental controls and additional safeguards against content involving bullying, eating disorders, suicide and self-harm.

"I'm all for the limitations because there's a whole world to go and see than on your phone," parent William Rackouski said.

The agreement resolves claims from 47 states, along with Washington, D.C., and several U.S. territories, alleging Meta designed Instagram with addictive features and misled the public about risks to young users.

The settlement is subject to court approval.