A New Mexico judge has ruled that Meta Platforms must pay $25 billion US (approximately $35 billion Cdn) following a jury’s determination that the company deceived consumers. The case stemmed from allegations that a political consulting firm linked to Donald Trump’s 2016 presidential campaign obtained data from millions of Facebook users without their consent.
Judge Francis Mathew stated in his order that Facebook’s misconduct, which was publicized over several years, struck at the core of the company’s business practices. Although state law allowed for a penalty exceeding $219 billion US, Mathew ultimately settled on $25 billion US.
Meta’s response to the ruling was not immediately available for comment.
The state’s attorney general initiated the lawsuit against Meta in 2021 after revelations surfaced about Cambridge Analytica, a British consulting firm, harvesting personal data from up to 87 million Facebook users through a third-party app.
The state alleged that Meta misled New Mexico residents about data access, hate speech handling, and internal policies. It was claimed that the company was aware of broad third-party access to personal data and allowed harmful content for profit.
Jurors found that 26 out of 29 statements made by Meta and its leadership were deceptive concerning these issues. They concluded that Meta committed over 43 million violations of New Mexico’s consumer protection laws, warranting penalties of up to $5,000 US ($7,024 Cdn) per violation, with funds directed to the state’s education system.
In a court hearing, the state’s lawyer proposed penalties between $35 billion and $40 billion US, emphasizing the importance of holding Meta accountable financially. Meta, on the other hand, argued for capping the penalties at $3.45 billion US to prevent negative impacts on business operations in the state.
This ruling marked the second time in six months that a Santa Fe jury sided with the state in a lawsuit against Meta Platforms. In the previous trial, Meta was ordered to pay significant civil penalties and make changes to protect teen users in New Mexico.
Meta has indicated its intention to appeal the latest ruling.
