META TO PAY $17 BILLION AND CAP TEENS AT TWO HOURS A DAY

🚨 Meta is paying about $17 billion to settle with 52 US attorneys general, and teen accounts are getting a two-hour daily clock.

CNBC reports the two sides settled Wednesday in a case alleging Meta knowingly designed products that were harmful and addictive to kids.

Under-18 users on Facebook and Instagram will face a daily time limit and will no longer see reactions on posts.

Most of the mandated safeguards must stay in place for 10 years. Meta's payments are distributed annually across that same decade.

California AG Rob Bonta told CNBC's David Faber it is the highest amount ever paid in a case like this, but said the financial penalty is not the core of it. The business practice changes are.

Most safeguards roll out within six months. Age assurance could take up to a year. Most features flip on automatically for teen accounts, though autoplay and the algorithmic feed have to be turned off manually.

Northeastern professor Laura Edelson told CNBC that disabling autoplay is the most promising piece, because autoplay increases usage duration. What is missing, she says, is any option to switch off infinite scroll. Meta's spokesperson argues the two-hour cap makes that moot.

Edelson co-authored a June 2026 report finding nearly 60% of social media safety features across the industry failed to effectively protect young users.

Context on the market reaction: Meta's market cap was $1.47 trillion Friday afternoon, up slightly from $1.45 trillion at Tuesday's close.

TikTok settled with the DOJ for $400 million on Aug. 21 over children's privacy allegations.

📉 Would a two-hour daily cap have changed anything for you as a teenager?

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