Texas getting $1B from Meta settlement. Here’s how it’ll be spent

Published August 26, 2026 4:05 PM CDT

Meta has agreed to a $17 billion settlement with nearly every state in the U.S. over the addictive nature of social media with teens.

What we know:

Texas will get about $1 billion from the settlement with the parent company of apps such as Facebook and Instagram, according to the Texas Attorney General’s Office.

The agreement also requires Meta to roll out several requirements for its products, including daily usage limits for teens and rules designed to prevent children from using their apps.

Limits on push alerts during weekday school hours, as well as stronger and more user-friendly parental controls are also required.

Featured

Meta agrees to settle social media addiction case for up to $16.8B

Meta has agreed to pay nearly $17 billion and add child-safety measures to its Facebook and Instagram platforms to end a landmark trial that's been playing out in Oakland over teen social media addiction and settle claims filed by 47 states, court records show.

How will Texas spend $1B from Meta settlement?

According to the Texas Attorney General’s Office, the settlement money will used to pay for things such as youth mental health services, crisis resources, digital literacy initiatives, after-school programs and grants for Texas schools.

What they're saying:

"This is a historic settlement and a major win for the safety of Texas children," Texas Attorney General Ken Paxton said in a statement. "Not only will Meta pay over $1 billion to Texas, but the company will also implement significant new safety features to better protect children’s precious minds and well-being on its platforms. It is my mission to fundamentally change and strengthen the standards for child safety online, and this settlement is a major step forward in the fight to ensure our kids are protected online."

This photo illustration shows the Meta logo in the foreground, with logos of Meta-owned platforms and applications, including Facebook, Instagram, WhatsApp, Messenger and Threads, in the background, in Tunis, Tunisia, on August 19, 2026.

This photo illustration shows the Meta logo in the foreground, with logos of Meta-owned platforms and applications, including Facebook, Instagram, WhatsApp, Messenger and Threads, in the background, in Tunis, Tunisia, on August 19, 2026. (Imen Ben Youssef / Hans Lucas / AFP / Getty Images)

Not first Meta payout to Texas

This isn’t the first time Meta has had to pay big cash to Texas. 

The backstory:

In 2024, the company agreed to settle a privacy lawsuit for $1.4 billion. This case centered on the collection and usage of facial recognition data.

The Source: Information in this story came from a statement released by the Texas Attorney General’s Office, reporting by FOX Local in San Francisco and previous FOX Local reporting.

TechnologyTexasNewsConsumerSocial Media