bbieron@platformeconomyinsights.com

Tech Trade Group Sues to Block Colorado Social Media Warning Label Law

Sep 1, 2025

Report from Colorado Public Radio

In Brief – Digital company trade association NetChoice, representing social media companies including Google, Meta, Snap, Pinterest, Reddit, and X, has filed suit in federal court to stop a Colorado law that will require pop-up warnings for users under age 18, advising them that regular use of the platform will harm brain development. The pop-up warnings would be required after the user has spent an hour on a platform within a 24-hour period, or the social media platform is used between 10 pm and 6 am, and they would continue every 30 minutes. The lawsuit argues that this compelled speech violates the First Amendment, forcing some digital platforms, in the words of a NetChoice spokesperson, to “serve as a mouthpiece for the state” opining on the alleged negative effects of social media use on the mental and physical health of minors, with hefty penalties of $20,000 per violation if they do not. While NetChoice calls allegations that social media use harms healthy young people “highly controversial” and point to various studies, including one in 2024 by the US Surgeon General than noted effects were varied and more research was needed, backers of the legislation claim the issue is settled and decry the companies for knowingly hurting kids and opposing the bipartisan legislation.

Context – States keep passing laws regulating how social media sites serve teens. Most are getting blocked by federal district court judges, including in GeorgiaFloridaOhioUtahArkansas, and California, most often based on express First Amendment concerns. Although in the Supreme Court’s 2024 Moody v. NetChoice decisionfive justices said that social media platforms are clearly expressive activity strongly protected by First Amendment, the Fifth Circuit Court of Appeals, which has consistently backed social media regulation laws, recently allowed Mississippi’s measure regulating teen use of social media to stand during litigation. The Supreme Court refused to overturn that order, creating real uncertainty about a High Court that has been squirrely on internet cases, generally avoiding policy decisiveness.

View By Monthly
Latest Blog
Apple Still Trying to Reverse Epic Antitrust Loss at Supreme Court

Report from Reuters In Brief – Apple has asked the US Supreme Court to review a lower court ruling that found the company in civil contempt for violating an injunction tied to its long-running legal fight with Epic Games. The Apple v Epic antitrust dispute began in...

Trump Cancels Executive Order on “Voluntary” AI Security Reviews

Report from the Washington Post In Brief – President Donald Trump cancelled signing a major executive order on artificial intelligence after last-minute lobbying from leading tech industry figures, including Elon Musk, Mark Zuckerberg, and former White House AI...

X Commits to Strengthen Anti-Terror Content Moderation in the UK

Report from The Guardian In Brief – Ofcom, the UK regulator enforcing the Online Safety Act (OSA), has announced that X has agreed to strengthen its moderation of terrorist and hate-related content. The commitments stem from Ofcom’s discussions with the top social...

Meta Joins Snap, TikTok and YouTube to Settle School District Lawsuit

Report from the New York Times In Brief – Meta has reached reached a settlement agreement in the first lawsuit headed to trial in federal court over claims that addiction to social media platforms has pushed public schools to spend massive sums fighting a youth mental...

Platform Economy Insights produces a short email four times a week that reviews two top stories with concise analysis. It is the best way to keep on top of the news you should know. Sign up for this free email here.

* indicates required