Meta Jumps 3% After Settling Teen App Addiction Case
Updated
Updated · CNBC · Aug 26
Meta Jumps 3% After Settling Teen App Addiction Case
3 articles · Updated · CNBC · Aug 26
Summary
Meta shares rose 3% in midday trading after the Facebook and Instagram owner reached a settlement with state attorneys general over claims it deliberately made its apps addictive for teenagers.
The deal came after a California trial in the case began last week, removing a near-term legal overhang tied to youth-safety allegations against the company.
The move stood out in a mixed session for tech: Zoom fell 7% on a weak third-quarter forecast, while Intuit dropped 4% after issuing fiscal 2027 revenue guidance below estimates.
The settlement offers Meta a measure of relief as investors weigh legal and regulatory risks alongside broader pressure on software and internet stocks.