Meta Platforms (META) has reached a settlement with state attorneys general over allegations the company’s Facebook and Instagram social media platforms were intentionally designed to be addictive to minors.

The settlement was reached during a federal trial in California and is reportedly for $12.6B to be paid over 10 years.

The lawsuit claims Meta Platforms (META) violated the Children’s Online Privacy Protection Act by collecting personal data from minors without parental consent and using the data for machine learning and generative AI models.

Meta (META) denied the allegations, arguing that “social media addiction” is not a recognized psychiatric condition.

Shares of Meta Platforms (META) are trending higher in Wednesday’s premarket.