TikTok to pay Alabama at least US$100m in settlement
The deal resolves Alabama’s claims over alleged addictive design and commits TikTok to new protections for younger users.
TikTok has agreed to pay Alabama at least US$100 million to settle the state’s lawsuit alleging the app was designed to keep young users addicted. The deal was reached before the case was due to go to trial next week, according to Engadget.
The settlement includes a two-hour daily limit for underage users, with parental controls allowing guardians to reduce that limit further. TikTok also committed to restricting unlimited scrolling and overnight access, banning beauty filters and offering younger users a non-personalised feed.
If TikTok fails to implement the changes, it could face an additional payment of up to US$300 million. The source does not specify when the measures take effect or the conditions that would trigger that payment.
Alabama sued TikTok and its developer, ByteDance, over the alleged design of the app. More than a dozen other states filed similar lawsuits in 2024; those cases remain separate from the Alabama settlement.
