NewzNew Mexico Attorney General Raúl Torrez said it was one of the largest, if not the largest, single state verdict against the company in American history. The verdict should be seen as a warning for tech companies that New Mexico will hold them accountable, state Attorney General Raúl Torrez said at a news conference. A jury found that the social media company had deceived consumers for years about its data privacy policies.
A judge on Wednesday ordered Meta to pay New Mexico $25 billion after a jury found the company liable for deceiving users about privacy, in what marks the largest fine ever against the owner of Facebook.The verdict should be seen as a warning for tech companies that New Mexico will hold them accountable. state Attorney General Raúl Torrez said at a news conference.“This judgement should be a signal, an unambiguous message, to Silicon Valley,” Torrez said.Under the New Mexico Constitution, fines for violations of consumer protection laws go toward state education spending.“We may have paid for the construction of schools for the next 100 years,” said Torrez, who acknowledged that the money would be tied up as Meta appeals.Representatives for Meta, which previously said it plans to appeal the September verdict, didn't immediately respond to a message seeking comment about the amount. The Menlo Park, California-based company was scheduled to report its quarterly earnings Wednesday afternoon and its shares were trading 2% higher following the penalty announcement.New Mexico goes it aloneIn August, Meta reached a settlement with nearly all states and territories — except New Mexico and Florida -- to pay $18 billion and add stronger child-safety measures to its Facebook and Instagram platforms.The settlement ended a trial over teen social media addiction and resolved a pivotal case years in the making that sought to hold the tech giant accountable for the role its platforms played in undermining children’s mental health.
The effort targeted features designed to grab young people’s attention.New Mexico wasn't part of the multistate settlement because it was pursuing its own case.Jurors in September found Meta liable for over 43 million violations of New Mexico consumer protection laws when a political consulting firm, Cambridge Analytica, harvested Facebook user data to generate targeted political ads for the 2016 election.“Facebook promised users that they (the users) controlled their data. Matthew wrote in his judgement.Attorneys for New Mexico had sought $35 billion to $40 billion, arguing that the company would only change its ways with a sum that affected its stock price.Lawyers for Meta argued for paying no more than $3.4 billion. An award 10 times that or even more would violate due process, was unconstitutional and would n…
The ruling follows a September decision in which jurors found Meta responsible for over 43 million violations of state consumer protection laws. A New Mexico judge ordered Meta to pay $25 billion Wednesday after a jury found the social media giant liable for misleading Facebook users about its privacy protections and conten... A judge has ordered Meta to pay New Mexico $25 billion after a jury found the company liable for deceiving users about privacy and content moderation on Facebook.
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