I feel sort of ambivalent about the whole thing myself. Yes, it is yet again surveillance state crap being pushed onto all of us under the THINK OF THE KIDS umbrella and keeping them off social media is rather difficult if the desire to go there is strong enough. So the kids might begin delve into the less corporate depths of the web such as here in their search for ways around the restrictions, which wouldnt be bad either i would say.
On the other hand, social media is a cancer on society and the mental wellbeing of (not just) young people. If this somehow led to the kids collectively returning to the real world, meeting and interacting like it used to be common, that would be fantastic. Could even inoculate them against the right wing propaganda machines at work online.