Meta ordered to pay $25 billion penalty to New Mexico

A judge 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.

New Mexico Attorney General RAUL TORRES: "It is my understanding, based on all of the information that has been publicly released by the company that they intend to appeal this judgment. And so, we stand ready to defend not only our trial presentation and the facts of the law that was presented to the jury and affirmed by the court, but we intend to do everything in our power to make sure that those resources are eventually delivered to the state of New Mexico for the benefit of its people. More importantly, I think today's judgment, from a state which admittedly is not very big in terms of population, should be a clear warning to everyone in big tech, Mr. Zuckerberg, Meta, social media companies, indeed, AI companies, artificial intelligence."

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.

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 not hold up under appeal, they said. Meta argued the state failed to prove misleading statements about privacy and that content moderation actually harmed New Mexicans. New Mexico was the only state to pursue a trial around the Cambridge Analytica scandal after 48 other states signed a settlement for $18 billion in August. Under the New Mexico Constitution, fines for violations of consumer protection laws go toward state education spending.