Why Australia’s Social Media Ban for Kids Alarms Big Tech

The Australian government’s announcement to ban children under 16 from social media has sparked an uproar. Meta, X, and TikTok have joined the opposition chorus. But why such resistance? These platforms already restrict users under 13, so what’s the big deal about raising the age limit?

The real issue is that enforcing this law will likely require a fundamental shift in how social media works. Right now, these platforms thrive on a simple system. A user states their age during signup with no proof required. Anyone can bypass this with a quick lie. It’s seamless, it’s easy, and it’s exactly how the companies want it. Frictionless onboarding ensures a steady flow of users, which fuels their business.

This ban threatens to disrupt everything. To enforce an under-16 restriction, platforms would need to verify everyone’s age. That’s where things get tricky. Age verification isn’t impossible, but it’s far from simple. It often involves documents like passports, credit cards, or driver’s licenses—things many 16-year-olds don’t even have.

Australia is testing solutions like facial recognition, but even this creates hurdles. Social media companies argue for delaying the legislation until the implementation details are sorted. Yet, from the government’s perspective, no proposed solution will ever sit well with these platforms.

The truth is that enforcing age verification could impact every user, not just kids. To ensure compliance, platforms may require all users to confirm their identities. This would fundamentally change how users interact with social media platforms.

The fallout could be massive. Requiring ID or biometric scans might deter new signups and alienate existing users. Many casual users might simply walk away, unwilling to jump through hoops. Dormant accounts—tens of millions of them—would vanish entirely.

This isn’t just a user experience problem. It cuts to the heart of these companies’ business models. Advertising relies on large, active user bases. Fewer users mean fewer impressions, less data, and ultimately, less revenue.

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The fear doesn’t stop at Australia’s borders. Other countries, especially in Europe, are watching Canberra closely. Utah tried similar legislation, and while it was overturned, the interest remains. For social media giants, this isn’t just an Australian problem—it’s a global threat.

There are valid arguments against the ban. It might fail to achieve its goals, limit children’s access to valuable information, or even face legal challenges. But beyond these debates lies an unspoken truth. This law is bad for business. And that’s why big tech is truly scared.

Image: DIW-Aigen

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by Web Desk via Digital Information World