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TikTok has agreed to pay $100 million and introduce new measures limiting children's use of the platform, resolving a lawsuit filed by the U.S. state of Alabama that accused the company of designing its app to encourage excessive use among young users.
Alabama Attorney General Steve Marshall's office filed the lawsuit in 2025, accusing TikTok and its parent company, ByteDance, of building an algorithm designed to addict young users and of misleading parents about the platform's safety.
The suit argued that the app's design contributed to a youth mental health crisis in the state, pointing to links between heavy use and issues such as depression and self-harm.
According to BBC's report, under the settlement reached between TikTok and the state of Alabama, the company will pay $100 million to the plaintiff and implement a series of measures regarding children's use of the platform.
A two-hour daily limit will be imposed on TikTok use by children in Alabama, while children's access to the app will also be restricted during nighttime and school hours.
The company will also enable parents to more comprehensively monitor their children's use of the platform.
While TikTok is required to make the $100 million payment within 45 days, it is stipulated that failure to meet the terms of the settlement would require an additional payment of up to $300 million to the state of Alabama.
The agreement follows a similar settlement Marshall's office reached with Meta in August, in which the company agreed to pay more than $117 million and adopt comparable restrictions, including daily time limits, nighttime access blocks, and limited notifications during school hours, for Instagram and Facebook.
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