The lawsuit was originally filed against TikTok and Snap as well, but the two companies reached an out-of-court settlement before the trial even started. According to Reuters, the jury determined that Meta (Facebook) will pay damages of 4.2 million dollars and Google – 1.8 million – relatively low amounts for the two most valuable companies in the world. The issue of punitive damages has not yet been decided and is expected to be discussed later.
The trial, which lasted several weeks, is considered a milestone in the legal battle against the technology companies, mainly due to the fact that this is one of the first cases in which the question of whether the design of the platforms themselves, and not just their use, may cause addiction and harm among minors is directly discussed. During the discussions, testimonies from industry executives were presented alongside internal documents of the companies.
In response to the verdict, Meta stated that it disputes the decision and is considering its legal steps. Google, which owns YouTube, also announced that it intends to appeal. The company’s spokesperson said that the case is based on a misunderstanding of YouTube, which he says is a streaming platform and not a social network.
The decision comes against the backdrop of growing regulatory pressure in the United States and around the world towards technology companies, especially in regards to their impact on children and teenagers. A day earlier, a jury in the state of New Mexico ruled against Meta in another case concerning child safety, and ordered the company to pay $375 million, a decision that the company also announced it would appeal.
The current ruling may serve as a precedent for additional lawsuits that have already been filed or are being prepared, centered on the claim that the design of the algorithms, the recommendation mechanisms and the alerts on the digital platforms are intended to increase engagement, even at the cost of possible harm to young users. For the technology industry, this is a clear signal that the courts are beginning to examine in depth not only the content presented, but also the structure and business logic behind the systems.
Google said: “We disagree with the verdict and intend to appeal. The case reflects YouTube’s lack of understanding that it is a streaming platform built on the foundations of responsibility, not a social network.”
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