NY AG Amends TikTok Lawsuit, Citing Secret Experiments on 15 Million Users

⚡ Key Financial Takeaways

  • New York Attorney General Letitia James amended a child safety lawsuit against TikTok, citing a 2021 algorithmic test.
  • The experiment withheld a safety feature from 10% of US users, impacting approximately 15 million people.
  • The amended filing reveals that a teen who died by suicide was part of the control group that did not receive the new safety features.
  • TikTok confirmed it runs A/B tests but denied that these experiments make the platform less safe for users.
  • This legal action occurs as Meta settles with most US states for up to $18 billion, with a portion of the payout contingent on TikTok and Snap making similar changes.

💡 Why It Matters

This case is significant because it moves beyond general allegations of harm to specific, documented internal practices. The allegation that safety features were withheld to boost engagement metrics, if proven, could set a legal precedent for how social media companies are held accountable for algorithmic decisions affecting vulnerable users. Furthermore, the linkage to the Meta settlement creates a financial and regulatory incentive for TikTok to resolve state-level lawsuits to avoid further penalties or to align with the broader industry settlement framework.

New Allegations in New York Lawsuit

New York Attorney General Letitia James has strengthened her legal case against TikTok Inc. by adding specific allegations regarding the platform's internal testing practices. The amended lawsuit accuses the social media giant of conducting secret experiments on teenage users that deliberately reduced safety measures to measure engagement metrics.

According to the filing, which draws on a confidential TikTok document reported by Bloomberg Businessweek, the company initiated an algorithmic test in 2021. This experiment impacted approximately 15 million US users. The core of the allegation is that TikTok withheld a newly developed safety feature from 10% of its US user base. The purpose of this exclusion was to test whether the absence of the feature reduced the amount of time users spent on the platform.

Link to Teen Suicide

The amended lawsuit includes details previously sealed from public view, linking the experiment to a tragic outcome. James stated that the teen who died by suicide was included in the test group that did not receive the safety features TikTok had rolled out to other users.

"As a result, TikTok has subjected users whom TikTok included in such A/B tests to an experience that TikTok has made less safe by design," James wrote in the filing.

TikTok’s Response

In a court filing, TikTok acknowledged that it conducts tests on its platform. The company stated that these tests "may involve a portion of platform traffic that continued to receive the original experience." However, TikTok firmly denied the allegation that these tests render the platform less safe for the users involved.

The company defended its practices in a statement, noting that it continuously improves its platform. "Like most companies, we regularly test new products and features to validate the experience and understand how they work in the real world," TikTok said.

Broader Legal Context

New York is one of more than a dozen states that have sued TikTok over claims that the platform harms the mental health of young users and that company leaders misled the public about safety protocols.

The legal landscape has shifted recently due to a major settlement involving Meta Platforms Inc. In September, TikTok agreed to pay up to $300 million to resolve a similar case in Alabama. Meanwhile, Meta reached a settlement agreement with nearly every state in the country, agreeing to pay up to $18 billion and make operational changes to its platforms.

Notably, the Meta settlement includes a provision where $5.3 billion of the payout over the next decade is contingent on whether TikTok and Snap Inc. commit to adding similar platform changes and contributing to state initiatives for child safety. This dynamic is increasing pressure on TikTok to resolve the pending cases filed by individual states.

Consolidated Proceedings

TikTok, Meta, Snap, and Google’s YouTube are collectively facing thousands of lawsuits from state attorneys general, individual users, and school districts. While the bulk of these cases have been consolidated into multidistrict proceedings, the lawsuit filed by New York is being tried separately.

🏛️ Background & Context

The lawsuit is part of a broader wave of legal actions against major tech companies regarding youth safety. Meta’s recent $18 billion settlement with US states has established a benchmark for liability and remediation. The specific provision in the Meta deal that ties part of the payout to TikTok and Snap’s compliance adds a layer of competitive and regulatory pressure on TikTok to address these safety concerns proactively.

👁️ What To Watch Next

Readers should watch for TikTok’s response to the specific allegations regarding the 2021 experiment in upcoming court filings. Additionally, the outcome of the pending state lawsuits will be critical, particularly as the Meta settlement’s contingent provisions may influence TikTok’s willingness to settle. The progress of the multidistrict proceedings involving multiple tech companies will also provide broader context for the industry’s legal exposure.