Opening arguments kicked off in a landmark child safety and privacy case against Meta over allegations that Facebook and Instagram were designed in ways that harm children.

What the plaintiffs said: "What you're going to hear in this trial is how Meta hooked children on its platforms," a plaintiff attorney told advisory jurors in federal court in Oakland. "It designed platforms so that children would keep coming back."

What Meta said: Meta's attorney said the company "strongly disagrees" with the allegations, per a live blog from the BBC.

• He sought to prepare jurors for evidence the states will present at trial, seeking to contextualize what he called "loose language" in internal communications.
• He said Meta has created tools to help people manage their time on its platforms, and argued that measuring user engagement is a legitimate business goal.

Catch up quick: The federal trial underway is being argued by California, Colorado, New Jersey and Kentucky — four of the 29 states that together sued Meta in 2023.

Threat level: The states have previously told the court they will seek damages of about $200 billion.

• A potentially bigger risk to Meta — and the other social media companies watching this case — is if the court compels Meta to make changes to its algorithms and product design.
• Such a move could have far more lasting consequences for the social media business model, affecting the mechanics companies use to drive engagement.

What's next: The trial is expected to last six weeks.

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Home Depot delivered its best comparable sales performance on a quarterly basis in more than two years, but the sluggish housing market continues to limit the retailer's upside.

• 🏚️ Why it matters: Muted housing sales, limited new construction and elevated interest rates have undermined home renovation projects in recent years.

Driving the news: Home Depot nonetheless posted a 1.7% increase in comparable sales, beating expectations.

• The home improvement chain's average transaction was $92.50 in the period ended Aug. 2, up 2.5% for the quarter, though the number of transactions fell 1% on a comparable basis.

🧊 State of play: Home Depot is still grappling with "frozen housing conditions," CFO Richard McPhail said on the home improvement chain's earnings call.

• He noted that housing turnover "has never been lower as a percentage of the housing stock."

🔨 Still, small renovation projects helped keep the home improvement retailer's sales lively, both among DIYers and pros.

• "The worst of the cycle downtrend is likely behind us," D.A. Davidson analyst Michael Baker wrote today in a note on Home Depot.

📺 ABC filed a lawsuit against the FCC, arguing the agency has violated its First Amendment rights by retaliating against the broadcaster for its editorial decisions. (Axios)

🤖 OpenAI is unveiling its long-expected teen experience for ChatGPT that features parental controls, efforts to encourage real-world relationships and a focus on learning rather than serving up answers. (Axios)

🔮 Kalshi filed to offer perpetual futures on equity indexes. "Perps" are futures-style contracts that track the price of an asset. (CNBC)

🏈 NFL commissioner Roger Goodell said he has "no doubt" that the league will eventually have teams located outside the U.S. (ESPN)

American Airlines, which long resisted adding seatback screens to its narrowbody flights, will resist no more.

💺 Driving the news: The airline announced today that it will add them to every seat on its narrowbody aircraft starting in 2028.

• The company will also increase premium seating on the fleet from about 25% of seats today to about 40%.
• American expects to complete the installations by early next decade.

📺 Zoom in: The new large-format screens will have 4K technology, expanded content options, Bluetooth and USB-C fast-charging ports.

• "American's screenless economy cabins were a carry over from US Airways when the airlines merged in 2014," The Points Guy reports.
• "Doug Parker, the former CEO of American and prior to that leader of US Airways, repeatedly emphasized that the cost of screens was not worth the investment when most travelers brought their own portable device."