New Hampshire will receive up to $224 million as part of agreement resolving lawsuits that claimed tech-giant Meta intentionally designed its products to addict young users and misrepresented the safety risks their social media platforms posed.
New Hampshire’s payout is part of a more than $17 billion multi-state deal, which includes 47 other states, Washington D.C. and numerous U.S. territories.
“Tech companies have used their algorithms and their platforms for profit to the detriment of a generation of children,” said Gov. Kelly Ayotte at a press conference in Concord Wednesday.
Research has shown that extensive screen use can lead to addiction-like behaviors and has been linked to issues like depression, anxiety and suicidal thoughts in young people.
Ayotte called for further action to protect children online on both the state and federal level.
She said the state will use the money to bolster young people’s mental health and educate parents about tech platforms. But Ayotte and Attorney General John Formella said they did not yet know which specific initiatives will receive this funding.
Formella likened holding Meta accountable as akin to reining in big tobacco and opioid manufacturers.
“This case really began with a simple question: what responsibility does a company have when they design their products to addict kids? And when those products harm kids?” he said.
The settlement will also result in numerous product changes to protect Facebook and Instagram users under 18, including:
- a two-hour daily time limit on the platforms;
- restricted access overnight and during school hours;
- more stringent age verification measures; stricter limits on potentially harmful material such as things like eating disorders and self-harm;
- and more extensive parental controls. Formella said Meta will have to come into compliance within six months for the majority of changes, which will mostly be in place for 10 years.
The exact amount of money the state receives and the extent to which some of these product changes come into effect hinge on other social media giants, namely YouTube, TikTok and Snapchat, also agreeing to the terms of the settlement. Formella said 70% of the $224 million payout is guaranteed regardless, while the additional 30% depends on the other companies coming on board.
Formella said this settlement is the result of years-long coordination between nearly every attorney general in the country. He said more than 30 states joined a federal consolidated lawsuit filed in California, while New Hampshire filed its own lawsuit against Meta in state court, which was scheduled to go to trial in January 2027. This settlement ends New Hampshire’s case and other similar ones across the country.
Formella credited New Hampshire’s leadership in the lawsuit for the size of the payout it is slated to receive. He said typically states receive a recovery share roughly proportional to their population size, which in this case would be a guaranteed payout of $60 million. But, he said, the state is guaranteed to receive at least $158 million, nearly $100 million more than it usually would expect.
The money will be paid out in ten equal installments, the first coming roughly within the next month and the rest arriving annually on Jan. 15.
