Reddit (NASDAQ:RDDT) has taken legal action against Australia’s ban on social media for under-16s, arguing that it infringes on free political discourse.
On Friday, Reddit challenged Australia’s social media ban for early teens under the new Social Media Minimum Age (SMMA) law in the country’s highest court. The ban, which was implemented two days prior, is the first of its kind globally.
Reddit, a major platform in Australia, while complying with the new law, argues that the ban violates the country’s constitutional right to free political communication. The company also contends that it should be exempt from the ban as it does not fit the definition of social media.
The online social forum and community platform, under the r/RedditSafety thread, acknowledges the importance of protecting users under 16 but argues the law leads to intrusive and insecure verification for both minors and adults, limits teens' participation in age-appropriate communities (including political discussions), and inconsistently applies across platforms. They suggest there are better ways to safeguard youth, while the SMMA law raises significant privacy and free expression concerns for all internet users.
This legal challenge, following a similar one by two Australian teenagers representing a libertarian group, significantly escalates the resources involved in the legal battle. A successful outcome for Reddit could potentially pave the way for other platforms to contest the ban.
During the first legal challenge by the teens, Australia’s Communications Minister Anika Wells had stated that the government would not be swayed or “intimidated” by Big Tech companies.
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The ban on social media for under-16s in Australia has been a contentious issue. The move, which came into effect on Wednesday, was lauded by Prime Minister Anthony Albanese as a step to make a significant difference for families. However, it has also faced criticism, with Reddit’s lawsuit being the latest development.
Elon Musk's X complied just before the deadline, posting a statement saying it would follow Australian law and remove users who don't meet age requirements, noting the decision wasn't optional but legally required.
Earlier, Meta Platforms (NASDAQ:META) deactivated Instagram, Facebook, and Threads accounts belonging to Australian users under 16, signaling a global push to regulate Big Tech. This move was seen as the “first domino” in a global effort to rein in tech giants.
Price Action: On a year-to-date basis, Reddit stock climbed 40.76% as per data from Benzinga Pro. On Thursday, it fell 1.92% to close at $233.54.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.