What the big lawsuit against Meta is about

Picture Credit: by CNN

It is being called the Big Tobacco moment of the tech industry. And the number attached to it tells you exactly how serious it has become: $1.4 trillion.

A landmark trial against Meta opened this week in federal court in Oakland, California, brought by 29 state attorneys general who accuse Facebook and Instagram's parent company of knowingly designing its platforms to addict children, collect their data illegally, and then hide the harm from the public. The case is expected to run for six weeks, and its outcome could reshape the entire social media industry.

The core accusation is straightforward. Prosecutors allege Meta deliberately engineered features, including infinite scrolling, algorithmically curated feeds, and engagement-maximising notifications, with full knowledge that they were psychologically harmful to young users. The lawsuit further claims Meta routinely collected personal data from children under 13 without parental consent, in direct violation of federal law under COPPA, the Children's Online Privacy Protection Act.

The human cost alleged is substantial. The lawsuit accuses Meta of contributing to the youth mental health crisis, with documented harms including eating disorders, low self-esteem, self-harm, and suicide.

Picture Credit: by Forbes Australia

This trial did not arrive in isolation. Earlier this month, a New Mexico judge ordered Meta to pay $567 million and make structural changes to its platforms after finding the company responsible for fuelling a children's mental health crisis in that state. Meta also recently settled a lawsuit brought by a Kentucky school district under undisclosed terms.

TikTok, YouTube, and Snapchat face similar litigation. A legal theory that survives this case can be picked up and used again, making the outcome far bigger than any single damages figure.

Meta denies all accusations, saying it has "built safeguards into its platforms to support parents and to help teens connect in a protected environment." Mark Zuckerberg is expected to testify.

The world will be watching Oakland.