A New Mexico jury found Facebook liable for over 43 million violations of the state’s consumer protection law, potentially exposing Meta, Facebook’s parent company, to penalties exceeding $200 billion. The verdict was delivered on Friday after a two-week trial in Santa Fe, focusing on Facebook’s alleged deception of users regarding privacy protections and data breaches, according to fortune.com.
The trial centered on Facebook’s handling of a data breach involving a third-party personality quiz that harvested data from approximately 87 million profiles. This data was sold to Cambridge Analytica, a political consulting firm linked to the 2016 Donald Trump campaign. Jurors concluded that Facebook made deceptive statements about safeguarding user data and misled the public about investigations into third-party app developers following the Cambridge Analytica scandal. The New Mexico Department of Justice described the verdict as a victory for consumers and a hold on a major technology company’s conduct, per fortune.com.
The case highlights ongoing legal challenges for Facebook and Meta related to user privacy and data protection. The penalties sought by the state could reach $5,000 per violation, which would amount to more than $200 billion if imposed at the maximum level. This follows previous costly legal setbacks for Meta, emphasizing the increasing scrutiny technology firms face over data privacy practices. The ruling affects New Mexico’s entire population of over two million residents, underscoring the broad impact of data privacy issues, as reported by fortune.com.
The judge will now determine the exact penalty amount Meta must pay. The New Mexico Department of Justice’s statement emphasized the verdict’s importance in holding Facebook accountable. The case adds to the growing list of legal actions against Meta, with the potential financial consequences among the largest ever faced by a technology company, according to fortune.com.