Meta Successfully Gains Consensus From 33 US States

A version of this story appeared in CNN Business Nightcap newsletter. To get it in your inbox, sign up for free, here.

Metas lawyers are really earning their paychecks this week.

Over three dozen states have filed a federal lawsuit in California, accusing the parent company of Instagram and Facebook of jeopardizing the mental health of teenagers with their "addictive" platform features. The 33 attorneys general argue that Meta's products have caused harm to minors and aggravated the mental health crisis in the US.

Multiple lawsuits were filed against Meta, as reported by my colleague Brian Fung. In addition to the original legal action, eight more attorneys general took Meta to state courts with similar allegations. Furthermore, the state of Florida initiated a federal lawsuit against the company, accusing it of deceiving users regarding potential health hazards. (Quite a substantial number of lawsuits for just one Tuesday!)

This surge of legal challenges stems from a bipartisan inquiry that began in 2021, following Facebook whistleblower Frances Haugen's disclosure of internal documents. Haugen alleged that these documents indicated Meta's awareness of the detrimental effects its products could have on the mental health of young individuals, particularly girls.

"We are aware of deliberate measures taken to enhance the addictive nature of the product," stated Tennessee Attorney General Jonathan Skrmetti. "Our objective is for the company to rectify this and ensure that they are not exploiting vulnerabilities in children."

Meta responded by expressing its agreement with the attorney generals' dedication to ensuring teen safety online. It emphasized that it has already implemented various tools for its users. Meta expressed disappointment in the attorneys general's decision to not collaborate actively with companies in the industry to establish explicit, age-appropriate guidelines for the numerous apps utilized by teenagers. This statement was issued by Meta.

The federal complaint filed in California calls for court orders prohibiting Meta from violating the law and, in the case of many states, unspecified financial penalties.

Big picture

We are currently experiencing a significant reckoning within the Big Tech industry, as policymakers are finally coming to terms with the disturbing reality of the vast amount of low-quality content that pervades the Internet and, more specifically, social media. (Welcome aboard, everyone! Feel free to join us, but be warned, the water is toxic.)

The legal action taken on Tuesdays is just one part of a larger effort by both state and federal authorities to control and regulate companies like Meta and Google, who have operated with minimal oversight for years, thanks in part to their intense lobbying efforts in Washington, D.C., aimed at keeping lawmakers from intervening in their industry. However, it wasn't until Haugen revealed her findings through the Wall Street Journal, which published a series of damning articles in 2021 outlining Meta's internal research on the detrimental effects of social media on mentally vulnerable teenagers.

In terms of the total number of users, it is important to clarify that those teens were in the minority. Based on the research conducted by Metas, it was concluded that the use of social media did not pose a risk for most users.

However, the fact that numerous states, who typically struggle to reach a consensus, have formed a unified front on this issue indicates that lawmakers are indeed taking online health risks seriously. This can be likened to their previous efforts in pushing back against cigarette advertisements aimed at young individuals.

In a statement, Colorado AG Phil Weiser accused Meta of prioritizing its profits over public health, likening their actions to those of Big Tobacco and vaping companies. This is not an isolated incident, as a federal judge in California will soon evaluate similar allegations against other tech giants including Google, Meta, Snap, and TikTok. Lawyers representing these companies will argue for the dismissal of approximately 200 complaints from plaintiffs who claim that their products are addictive or harmful to consumers.

The outcome of the court proceedings will greatly determine the course of events. Silicon Valley lawyers are expected to handle this with utmost care and expertise.

Love Nightcap? Join us and receive this content, along with other amusing internet finds, delivered to your inbox every evening. (Except on occasion, as we embrace a four-day work week.)