May 24, 2022 – Business groups have warned that if the bill passes, social media companies would most likely cease operations for children in California rather than face the legal risk.

The proposal would only apply to social media companies that had at least $100 million in gross revenue in the past year, appearing to take aim at social media giants like Facebook and others that dominate the marketplace. 

It would not apply to streaming services like Netflix and Hulu or to companies that only offer email and text messaging services. 

“The era of unfettered social experimentation on children is over, and we will protect kids,” said Assembly member Jordan Cunningham, a Republican from San Luis Obispo County and author of the bill.