TikTok has agreed to pay Alabama at least $100 million to settle allegations that it was deliberately designed to make children and teenagers addicted to social media. The settlement avoids a trial due to begin next week and marks TikTok’s first agreement with a US state over social media addiction claims.

The company will introduce a two-hour daily limit for underage users, stronger parental controls, restrictions on unlimited scrolling and overnight access, and a ban on beauty filters. Younger users will also receive a non-personalised content feed; failing to implement the measures could cost TikTok up to $300 million. The case is part of wider legal action by more than a dozen states, while TikTok separately agreed in August to pay $400 million to settle alleged violations of children’s privacy laws.