CTOnews.com Nov. 28-Meta lost its latest court battle over privacy Monday. A federal judge has ruled that U.S. regulators can require the social media company to reduce revenue it earns from users under the age of 18.
Judge Timothy Kelly of the District Court for the District of Colombia rejected Meta's motion to take over the dispute with the Federal Trade Commission.
In May, the FTC accused Meta of misleading parents about the extent to which they could control who their children contacted in the Messenger Kids app.
The FTC proposed changing a settlement reached in 2019 that required Facebook to pay $5 billion (CTOnews.com notes: currently about 35.75 billion yuan).
The FTC also said it would tighten regulations to prohibit Facebook from making money by collecting data from users under the age of 18, including virtual reality businesses. Meta will also face expanded restrictions on the use of facial recognition technology.
More than 98% of Meta's revenue comes from digital advertising using personal data. A 2023 Pew Research Center study found that 62 percent of teens ages 13-17 are using Instagram and 17 percent are using WhatsApp.
The FTC argued that it was up to the agency to decide whether to change its settlement agreement and that the district court had no jurisdiction. The Committee's decision may be appealed to the relevant appellate court.
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