A judge ordered Meta Platforms to pay $25 billion to New Mexico after a jury found the company misled consumers. The case concerns Facebook users’ personal data. New Mexico Attorney General Raul Torrez filed the lawsuit in 2021. The state argued that Meta failed to explain who could access users’ information. Officials also raised concerns about its handling of hate speech, misinformation, and harmful content. Judge Francis Mathew said the company’s conduct involved its core business practices. He found state law supported a penalty exceeding $219 billion, but reduced it to $25 billion. Torrez called it one of the largest single-state judgments in American history.
Cambridge analytica scandal linked to the case
The case is linked to the Cambridge Analytica scandal. The consulting firm worked for Donald Trump’s 2016 presidential campaign. It obtained information from millions of Facebook accounts for voter profiling and targeted political messaging. The firm accessed data through a third-party application created by a researcher allowed to deploy it on Facebook. The application collected information without users’ consent. The scandal raised concerns about how platforms protect data and oversee outside applications. New Mexico accused Meta of misleading users about data access and internal policies. The state alleged that third parties had broad access to personal information. It claimed Meta tolerated harmful content when doing so benefited its business interests.
Meta faces wider legal pressure
The ruling follows settlements by six other states over Cambridge Analytica claims. They received $459.2 million through a multistate settlement Meta reached in August. The broader $17.1 billion agreement resolved claims that its platforms harmed teenagers’ mental health. The New Mexico judgment adds legal pressure on Meta. It highlights financial risks technology companies face when courts find they misled consumers. Privacy and consumer protection remain major issues for social media platforms. The report did not confirm whether Meta would appeal or provide a company response. Further proceedings could affect the outcome. The case may influence how companies explain privacy policies and risks linked to sharing personal information.
For Facebook users, the case is a reminder to review privacy settings and app permissions. Users should understand what information they share and how third-party services may use it. The ruling does not mean every application misuses personal data. Meta told to pay $25bn to US state for ‘misleading consumers’ marks a major development in the debate over online privacy and corporate accountability. The outcome focuses attention on how social media companies handle user information.
