After social media ban for kids under 16, Australia has more bad: The wider industry impact

After social media ban for kids under 16, Australia has more bad: The wider industry impact

After social media ban for kids under 16, Australia has more bad news for Instagram, Facebook, Snap and online games companies as it plans to give users new ‘Switch Off’ button

The measure carries severe financial teeth: social networks, artificial intelligence (AI) chatbots, interactive gaming platforms and digital services failing to comply could face civil penalties reaching 109.2 million Australian dollars (roughly $79 million), according to a report by CNBC. The draft legislation, released on Tuesday (September 8) for closed industry consultation before being brought to Parliament later this year, requires tech firms to actively prompt every account holder with a notification allowing them to select their preferred default interface. In August, Meta agreed to pay $18 billion to settle a massive lawsuit spearheaded by California alongside dozens of US attorneys general over allegations that Facebook and Instagram misled the public about youth risks.

Following its decision to restrict minors under 16 from accessing social media websites last December, the Australian government is preparing fresh legislation that would mandate a direct “opt-out” mechanism for algorithmic recommendation systems on digital platforms. Under the upcoming “My Feed, My Way” proposal unveiled by Prime Minister Anthony Albanese’s administration, tech companies must allow Australian users aged 16 and older to turn off recommendation engines entirely, switching instead to feeds that display only content uploaded by accounts, friends and creators they actively choose to follow. It gives users choice, and it will hold the big tech companies responsible for inaction,” said Albanese. including TikTok’s “Friends” tab, Instagram ’s “Following” and “Favorites” options, Facebook’s personal connection feed, YouTube’s subscriptions tab and Snapchat’s split layout, Australia’s law would codify direct, persistent user selection into national statute While major applications currently maintain varying degrees of non-curated views.

Beyond social networks, the proposal orders developers of AI conversational bots and online video games to eliminate addictive interface mechanisms that target underage users. “This is not about giving government control. It’s about giving people control. It’s about putting choice back into the hands of Australians online. This is sensible, pragmatic, practical reform. Australia’s regulatory crackdown lands during an era of courtroom defeats and regulatory liabilities for major social media developers worldwide. As part of that agreement, Meta promised to introduce chronological feed options, enforce two-hour daily screen limits, and remove cosmetic surgery facial filters for minors within months. The company also wrote an open letter to TikTok and YouTube to follow the suit. California Attorney General Rob Bonta, who directed the nationwide lawsuit against Meta, has also warned that law enforcement officials are now targeting Snapchat, YouTube, and TikTok for similar product safety reviews. Get the latest technology news and updates. Download the TOI App.

Earlier this year, a Los Angeles court handed losses to both YouTube and Meta in a personal injury action that found automated autoplay features and infinite scrolling loops harmed the mental health of a young user.

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