Meta paid to end a landmark lawsuit over addicting kids to its apps — bad for Meta's engagement-driven business, good for parents and for anyone trying to sue big tech.

• State prosecutors sidestepped Meta's usual legal shield by attacking the app's design, not what users post, treating features like the Like button and infinite scroll as a defective product.
• Leaked internal research showed Meta knew Instagram made body image and anxiety worse for teen girls and did little about it.
• Meta's own lawyers warned the maximum penalty could reach $1.4 trillion — its entire market value — so it settled days into the trial for $18 billion.
• Teen accounts now face two-hour daily limits, overnight lockouts, and silenced notifications, which directly cuts the engagement Meta sells ads against.
• Reporters are calling it tech's Big Tobacco moment, and TikTok and YouTube are expected to face the same demands.

Outlook: Expect pressure on Meta's ad revenue and stock as teen engagement drops, and copycat suits aimed at rival platforms.