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Invest2 publishersAlso reported elsewhere3 min readPublished

After skipping Meta's settlement, Florida asks a judge to pull under-14 users off Facebook and Instagram

Florida's attorney general asked a Pasco County court to pull under-14 users off Facebook and Instagram and cap teens at two hours a day. Having passed on its share of the multistate settlement, Florida now needs a judge to grant terms stricter than those Meta accepted elsewhere.

The Investor · Invest desk

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What happened

  • Meta settled with 48 other states and Washington DC in August, agreeing to pay up to $18 billion and change its products for teen users.
  • The proposed order would switch off infinite scroll and autoplay by default and hide like and comment counts unless a parent turns them on.
  • Florida also wants teen messaging cut off once time limits are reached and a bar on showing ads to teens, terms stricter than the settlement's.
  • The filing asks for the changes to take effect immediately and stay in place while Florida's lawsuit moves forward.

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Why it matters

  • contradiction Florida's Voice and CNA put the settlement $6.34 billion apart, so the size of the cash Florida gave up is uncertain by that much before its own share is even counted.
  • precedent Florida's office argues that the changes Meta made for other states show its stricter demands are workable, so a holdout state can cite the multistate terms in court as a floor.
  • decision If a judge grants the age-check clause, Meta gets 30 days to build stronger verification for one state or stop serving under-14 users there until it does.

Florida's case against the deal rests on cash, and its own figures can be checked [9]. According to Cryptopolitan's account, Florida's motion says the annual payment equals about two days of Meta's revenue, for a company it values at $1.86 trillion [9]. Florida's Voice, cited by the same outlet, put the deal at $11.66 billion over a decade across 51 states and territories [8]. That is about $1.17 billion a year [19]. If a year's payment on that figure is two days of revenue, Meta takes in about $583 million a day, or roughly $213 billion a year [20]. CNA describes the deal as up to $18 billion with 48 other states and Washington DC, and puts it at about one month of revenue [7][10]. One month at $18 billion implies $216 billion a year [21]. So the two reports roughly agree on Meta's revenue and disagree on the deal; the "up to" in the larger figure suggests a ceiling, and neither report explains the gap [22].

At either size the payment is under 1% of the market value Florida cited: 0.63% at $11.66 billion, 0.97% at $18 billion [23]. Florida said in the filing that the settlement amounted to a "mere slap on the wrist, will be cynically viewed as the cost of doing business, and in any event will not prevent this kind of behavior going forward" [11]. Having made that case, Florida forgoes its share of the cash, whatever it would have been, and puts its legal effort into an order on how the apps work [6].

The proposed limits are tighter than the two-hour cap suggests [2]. On a school weekday, a default quiet mode blocks 9 p.m. to 8 a.m. and a second block covers 8 a.m. to 3 p.m. [4]. That leaves six hours, from 3 p.m. to 9 p.m., and the cap allows a third of them [24]. The 60-hour monthly limit is the daily cap multiplied by 30 [5][25]. Unless parents can raise the daily cap, the monthly limit binds only in a 31-day month, and then by two hours [25].

Meta denied wrongdoing in settling and has said it works hard to keep teens safe; a spokesperson did not immediately respond to a request for comment [14]. Florida's suit, brought under its Deceptive and Unfair Trade Practices Act, accuses Meta of calling its apps safe for young users while research pointed to anxiety, depression and self-harm [16]. The filing cites internal chats in which one employee wrote "IG is a drug" and another described the company as "basically pushers" [17].

If a judge grants the motion largely as written, Meta would run stricter teen rules in Florida than in the states that settled [7][12]. If a judge narrows or denies it, Florida has neither the settlement cash nor the terms while the case runs [6]. A third outcome is a separate Florida settlement, with the motion as leverage [6].

I think Florida's holdout is a bet on product terms. By its own figures the money is two days of Meta revenue a year [9], and the terms it wants beyond the settlement are ones Meta did not give the other states [12]. That view is wrong if Florida ends up settling separately and the main gain over the multistate deal is a bigger check [7].

What to watch

  • The Pasco County court's ruling on the temporary injunction, and whether it keeps the ad bar and the messaging cutoff.
  • Any move by Meta toward a Florida-only settlement, and whether its gains over the multistate deal come as cash or as product rules.
  • Whether the $11.66 billion and up to $18 billion figures turn out to describe the same payout with contingent amounts.
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