Roblox shares drop after Louisiana AG files lawsuit against gaming platform

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Roblox Corp. shares dropped nearly 11% on Friday after two new lawsuits accused the gaming platform of failing to protect children from online predators, Bloomberg writes. 

Louisiana Attorney General Liz Murrill’s suit alleges predators “thrive” on Roblox, while a federal case in California describes how a 10-year-old was allegedly targeted by an adult posing as a child. They join five other recent suits in multiple states involving victims as young as 8. 

Plaintiffs claim Roblox’s safeguards fall short, despite the company’s extensive moderation and recent rollout of stronger age verification. Roblox says it invests heavily in safety and limits personal information sharing, but acknowledges no system is perfect. 

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Critics question why some protections launched only this year. Bloomberg previously reported that police have arrested at least two dozen suspects since 2018 for crimes linked to Roblox. 

The platform averages 111.8 million daily users—36% under age 13—who generate billions of messages and user-made games each day. Shares closed down 6.8% at $116.77.

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