Texas Faces Court Fight Over App-Store Rules for Minors

WASHINGTON Oct. 17, 2025 – Texas’s latest attempt to regulate the digital marketplace just drew a federal lawsuit from a major tech industry association.

The Computer & Communications Industry Association filed suit Thursday in federal court, and sought to block Senate Bill 2420 — the “App Store Accountability Act” — on First Amendment grounds. The measure, set to take effect Jan. 1, 2026, required app stores to verify users’ ages, obtain parental consent for most downloads, and label app content according to state-defined categories.

Under the measure, users younger than 18 would need parental approval to access most apps or make in-app purchases. Those unable to link their accounts to a parent or guardian would be locked out of nearly all app content.

The statute had also set new rules for app developers, and required them to assign detailed age ratings, justify those ratings in writing, and notify app stores whenever they modify features or user experiences. CCIA said that system amounted to a “compelled speech regime.”

“We support online protections for younger internet users, but those protections should not come at the expense of free expression or personal privacy,” said Stephanie Joyce, chief of staff and director of CCIA’s Litigation Center. She said the Texas law “restricts app stores from offering lawful content … and compels developers to speak … in a way pleasing to the state.”

CCIA's lawsuit was filed Thursday in the U.S. District Court for the Western District of Texas, and named Attorney General Ken Paxton as the defendant. CCIA asked the court to block the law and declare it unconstitutional, arguing it imposed restrictions that violated the First Amendment and Commerce Clause.

In its filing, CCIA described the verification requirements as “privacy-invasive” and said the restrictions would prevent minors without parental approval from accessing lawful information and applications. The group also warned that developers and platforms would face significant compliance burdens to meet the state’s mandates.

Texas’s SB 2420 was the latest in a wave of state laws that have sought to regulate online content and youth access to digital platforms. Similar measures in Arkansas and California have been challenged on constitutional grounds, with federal courts temporarily placing injunctions on both.

Founded in 1972, the Washington-based CCIA represented communications and technology firms advocating for open markets and networks. Its members include Amazon, Intel, Google, and other leading software firms, app developers, and platform providers.

This lawsuit emerged amid a broader debate of whether states can impose their own speech and privacy standards on the internet.

Texas Governor Greg Abbott signed the bill into law on May 27, 2025.

“This law reflects a growing nationwide trend of states asserting regulatory authority over technology, privacy and child safety,” according to an analysis by Pillsbury attorneys Austin Chegini, Edward A. Cavazos, and J.C. Freeman. “Although the App Store Accountability Act is presented as a measure targeting mobile app distribution, its definitions leave considerable room for interpretation. As a result, the law could apply to a broader class of digital services, including platforms that deliver games, interactive experiences or third-party content, even if they do not resemble conventional app stores.”