A court in the US state of New Mexico ordered Meta Platforms to pay twenty-five billion dollars on Wednesday. The court found the technology giant guilty of systematically misleading Facebook users regarding personal data protection. State prosecutors proved that political consulting firm Cambridge Analytica harvested personal information from millions of users without consent. Attorney General Raúl Torrez called the historic judgment one of the largest state penalty orders in American legal history. Consequently, the landmark decision imposes severe financial penalties on the social media giant for its corporate misconduct.
Read More: Meta’s leaked AI rules allow provocative, harmful chatbot content
The trial centered on long-standing corporate practices that systematically deceived social media consumers across the United States. Presiding Judge Matthew noted that statutory state penalties initially totaled over two hundred nineteen billion dollars. However, the judge reduced the final penalty amount to twenty-five billion dollars to ensure proportionality. The judicial ruling stated that Meta’s years of wrongdoing struck directly at the core of its business practices. Therefore, the court issued a stern warning against tech companies exploiting user privacy for financial gain.
New Mexico originally filed the lawsuit in 2021 following revelations regarding third-party data harvesting practices. Investigations revealed that Cambridge Analytica illegally gathered personal information from up to eighty-seven million Facebook accounts. The political consulting firm subsequently used the harvested data to profile and target prospective voters during 2016 presidential campaigns. Furthermore, state prosecutors accused Meta of repeatedly lying to consumers about third-party data access policies. Consequently, state officials successfully proved that the platform compromised user privacy to advance commercial interests.
The historic penalty comes shortly after six other US states settled related Cambridge Analytica lawsuits for $459 million. That smaller settlement formed part of a broader $17.1 billion multi-state agreement finalized earlier in August. That previous agreement resolved separate state claims alleging Meta platforms negatively affected youth mental health. However, New Mexico chose to pursue independent litigation, resulting in the massive twenty-five billion dollar verdict. Thus, state legal teams established a formidable legal precedent regarding corporate accountability for tech firms.
Read More: Viceroy Research and members accused of defamation
Meta continues to face intense global regulatory scrutiny over user privacy, algorithmic transparency, and data sharing practices. Corporate legal representatives are expected to appeal the massive fine in higher federal appellate courts. Meanwhile, consumer protection groups worldwide praised the ruling as a monumental victory for digital privacy rights. Experts believe this decision could encourage other jurisdictions to file similar data misuse lawsuits against technology firms. Ultimately, the ruling underscores rising global pressure on major social media platforms to respect user consent.
