Meta ordered to pay $25 billion after a New Mexico jury found the company misled users about data privacy in the Cambridge Analytica scandal.
Meta ordered to pay 25 billion dollars
Meta Platforms has been ordered to pay 25 billion dollars after a jury in New Mexico found the company misled users about how it handled personal data, in a case linked to the Cambridge Analytica scandal. The penalty was announced following a trial where jurors concluded Meta had made numerous misleading statements to users.Jurors find 43 million violations
Jurors determined that Meta had committed over 43 million violations of New Mexico's consumer protection laws during the trial. These violations were based on 29 statements examined, of which 26 were found to be misleading by the jury.Meta plans to appeal the ruling
Meta has indicated that it will appeal the decision, arguing that the fine is excessive. The company had asked the judge to limit the fine to 3.45 billion dollars, but the judge ultimately set it at 25 billion dollars.New Mexico calls this a historic win
New Mexico Attorney General Raúl Torrez called the ruling one of the most significant ever against Meta by a single state. He emphasized that it was long overdue for tech giants to be held accountable for their actions.The Cambridge Analytica scandal
The case stems from the Cambridge Analytica scandal, where a British political consulting firm collected personal data from 87 million Facebook users through a third-party app without their consent. This led to widespread concerns about data privacy and misuse.Meta's response and legal challenges
Meta's legal director, C.J. Mahoney, stated that the ruling would make commercial activity in New Mexico nearly impossible, claiming it amounts to a "tax on free speech." He expressed confidence that Meta would prevail on appeal and continue developing a safe and free platform.Broader legal battles against Meta
In addition to this case, four U.S. states are suing Meta for 1,400 billion dollars, alleging the company designed addictive features to keep young users engaged and allowed children under 13 to use its platforms. The case is being heard in a federal trial in Oakland, California.Legal experts highlight the case's significance
Legal experts noted that the 25 billion dollar fine highlights the risks large tech companies face under state consumer protection laws. Even if the fine is reduced on appeal, the case sends a clear message to companies about the importance of being honest with consumers, especially regarding privacy.