TikTok settles Alabama suit with $100 million and youth app changes
The deal forces TikTok to cap minors’ use and alter key features, with penalties if it falls short.
TikTok has reached a settlement with Alabama worth at least $100 million, resolving the state’s claim that the service was engineered to foster addiction among young users; the case had been headed to trial next week. The agreement requires a two-hour daily cap for underage users, with parental settings that can make the allowance shorter. It also calls for limits on endless scrolling and nighttime use, plus a ban on beauty filters and an option to view content without personalization. If TikTok does not deliver the changes, its payment exposure could rise to $300 million. The deal follows an August agreement for TikTok to pay the US Department of Justice $400 million to settle a lawsuit over alleged violations of children’s privacy laws.
Why it matters
Alabama’s settlement pushes TikTok to change how its app works for younger users, not just pay a fine. Time limits, overnight restrictions, a ban on beauty filters and a non-personalized feed mark a shift toward more direct controls on how teens can use the service. And with a possible escalation of the payment to $300 million if TikTok does not deliver these changes, the agreement adds financial pressure to follow-through, following an earlier federal settlement over children’s privacy.
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Sources
- Engadget