Meta Fined $25 Billion Over Facebook User Privacy Violations in New Mexico
A court in the US state of New Mexico has ordered Meta, the parent company of Facebook, to pay a $25 billion fine over allegations that it misled users about the protection of their personal information. The amount is equivalent to approximately ₹2.2 lakh crore. The case is linked to concerns over user privacy and the 2016 Cambridge Analytica scandal. Meta has indicated that it intends to appeal the ruling.
According to the New Mexico state administration, Meta misled Facebook users about who could access or use their personal data. The company also faced scrutiny over its handling of harmful content, including hate speech and misinformation on its social media platform. State authorities filed the lawsuit against Meta in 2021.
The case has its roots in the 2016 US presidential election. Cambridge Analytica, a political consulting firm, allegedly collected the personal information of approximately 87 million Facebook users through a third-party application. The data was subsequently alleged to have been used for political campaigning, raising serious concerns about Facebook’s data protection practices.
During the proceedings, a jury reportedly found that 26 out of 29 statements made by Meta and its representatives were misleading. The jury also concluded that the company had violated New Mexico’s consumer protection law more than 43 million times.
Under the law, each violation can attract a penalty of up to $5,000. Based on that calculation, the total potential fine could have exceeded $219 billion. However, the judge reduced the penalty and set the final amount at $25 billion.
Meta, meanwhile, has maintained that it does not sell users’ personal information. The company has also argued that state authorities failed to demonstrate that any consumer was actually misled. Meta’s lawyers had reportedly urged the court to limit the fine to $3.45 billion.
The ruling marks a significant development in the ongoing debate over social media accountability and the protection of personal data. Meta is expected to challenge the decision through an appeal, potentially extending the legal battle over the company’s data privacy practices.
