A recent study by the Harvard T.H. Chan School of Public Health has revealed that social media companies generated over $11 billion in advertising revenue from minors in the United States last year. This significant figure underscores the growing concern over the impact of social media on younger audiences and calls for increased government regulation.
The study points to the necessity for government intervention in regulating social media platforms that profit from young users. The researchers argue that these companies have not effectively self-regulated, leading to potential mental health harms and questionable advertising practices targeting children and adolescents. The study advocates for enhanced transparency from tech companies to mitigate these issues.
To calculate the revenue figure, researchers estimated the under-18 user base of platforms like Facebook, Instagram, Snapchat, TikTok, X and YouTube.
They utilized U.S. Census data, surveys from Common Sense Media and Pew Research, and financial data from Insider Intelligence and Qustodio. A simulation model was built using this data to estimate the ad revenue earned from minors.
This revelation comes amid heightened scrutiny of social media’s effects on children, with algorithms often leading to excessive use and potential mental health issues. In response, states like New York and Utah have been introducing or passing legislation aimed at curbing social media use among kids, citing these detrimental impacts.
This study sheds light on the ethical considerations and potential regulatory changes in targeting younger audiences on social media. It highlights the importance of responsible advertising practices and the increasing likelihood of legislative action in this domain.
