Meta stock sinks as landmark social media addiction trial gets underway. What’s at stake for the tech giant?

Meta Platforms faces a landmark trial in Oakland, California, regarding allegations that Facebook and Instagram were designed to addict younger users despite known mental health risks. The company also faces child privacy claims. If found guilty, Meta could encounter over a trillion dollars in penalties and mandatory operational changes. Consequently, META stock prices have declined as investors react to these existential threats. The trial may result in stricter global regulations concerning social media design and data practices.