State lawmakers are intensifying efforts to regulate social media and AI, though comprehensive federal legislation remains elusive. In May and June, congressional subcommittees held hearings on social media harms and data privacy, while the Kids Online Safety Act (KOSA) continues to build support without a scheduled markup. The White House weighed in with an executive order on AI safety. At the state level, Illinois, California, and New York each advanced new legislation targeting online safety for minors. Meanwhile, a landmark $27 million settlement between major social media companies and a Kentucky school district signals growing legal accountability for platforms.
Federal Action
Congressional Hearings
In May, the Senate Judiciary Subcommittee on Privacy, Technology, and the Law held a hearing on recent social media trials and their implications for congressional action. For a refresher on these lawsuits, please read our April Policy Update. The hearing covered familiar themes: congressional inaction, calls to pass the Kids Online Safety Act (KOSA), the dangers of AI, Section 230, and the failures of social media companies to self-regulate.
The Senate Judiciary Committee’s 2024 hearing with major social media CEOs was repeatedly referenced, with several members calling for a follow-up. The 2024 hearing was a memorable moment, particularly when Meta CEO Mark Zuckerberg apologized to families who had lost children to social media harms. Senator Grassley (R-IA), Chair of the Judiciary Committee, has indicated a similar hearing will take place this year, though no confirmation has been made.
Separately, the House Energy and Commerce Subcommittee on Commerce, Manufacturing, and Trade held a June 3 hearing on comprehensive data privacy and security, focused on the SECURE Data Act, which would establish federal data and privacy standards. Most witnesses were broadly supportive of the bill’s approach. However, Caitriona Fitzgerald, Deputy Director and Policy Director at EPIC, raised concerns that the Act sets a low floor for data security, offers limited recourse for consumers, and preempts stronger state laws, including those aimed at protecting children’s data.
KOSA
At a Mother’s Day rally, Senate Commerce, Science, and Transportation Committee Chair Ted Cruz (R-TX) reaffirmed his commitment to passing KOSA, joining longtime supporters Senators Marsha Blackburn (R-TN), Amy Klobuchar (D-MN), and Richard Blumenthal (D-CT). KOSA was introduced in May 2025 and currently has 76 cosponsors. No official markup has been announced since the rally.
AI Executive Order
On June 2, the White House released an executive order establishing a benchmark process to evaluate the safety of AI foundation models. The order had been expected earlier in the year but was delayed over concerns about its potential impact on U.S. competitiveness in AI.
State Action
As federal lawmakers continue to stall, state legislatures have moved forward with their own regulations. Three recent developments reflect the debates playing out in statehouses across the country:
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- Design-based regulations and age assurance
- Social media bans
- AI chatbots
Design-based regulations and age assurance: In early June, the Illinois legislature passed Governor Pritzker’s Children’s Online Safety Act. The law restricts personalized feeds and nighttime notifications for minors and sets age-assurance requirements. It is similar to existing laws in California and New York, combining social media design restrictions from both states with California’s age-assurance framework.
Social media bans: California Assembly Member Josh Lowenthal is advancing a bill that would establish a social media age minimum in the state. Platforms providing an “addictive feed” as a significant part of their service would be required to block and remove accounts belonging to users under 16, and to take steps to prevent minors from accessing the platform. Presumably platforms that stop offering personalized feeds altogether would no longer fall under the law’s obligations. This approach mirrors Australia’s social media ban for minors, which was amended to apply only to platforms offering “addictive feeds.” The bill would also create an e-Safety Advisory Commission to advise the state Attorney General on online safety matters.
AI chatbots: In June, the New York legislature passed one of the strongest AI chatbot regulations in the country. The bill prohibits interactions that encourage self-harm, suicide, eating disorders, or substance use; foster emotional attachment to the chatbot; or involve sexually suggestive or explicit content, among other restrictions. What sets New York’s law apart from similar state measures is enforcement: rather than requiring platforms to take preventive steps, the bill makes such interactions unlawful, holding companies to a significantly higher standard.
Litigation
Meta, Snap Inc., YouTube’s parent company Alphabet, and TikTok’s parent company ByteDance, have reached a $27 million settlement with the Breathitt County School District in Kentucky. The district had sued the companies over mental health harms to students. The case served as a bellwether in a multi-district litigation (MDL) process, which consolidates many similar cases nationwide rather than trying them individually. California has a similar process limited to cases within the state. We covered both in our April Policy Update. Additional bellwether cases in both the MDL and California process are expected later this summer.