New Mexico Court Hits Meta With $25B Privacy Penalty
A New Mexico judge has ordered Meta to pay $25 billion after a jury found millions of willful violations of state privacy law. The court determined a much larger maximum was justified but reduced the amount, and Meta plans to appeal. The money is designated for New Mexico schools.
New Mexico filed the case in 2021 after Cambridge Analytica disclosures, and it became the first state-led matter of its type to reach a jury verdict. Jurors identified 43,899,725 willful violations tied to 26 statements from Meta executives between May 2010 and August 2021.
The judge calculated a $219.5 billion maximum using the state's $5,000-per-violation ceiling, then imposed $25 billion—about 11% of that figure. State law directs the money to New Mexico schools; the sum exceeds the state's yearly budget. Meta intends to appeal, and 15% annual interest adds $3.75 billion yearly.
The ruling could affect millions of social media users by signaling that statements about data handling may carry large financial consequences. New Mexico schools may eventually receive funds if the award survives appeal, though delays and reduced amounts are possible. Other platforms may reassess privacy disclosures and compliance costs, while Meta’s appeal could shape how state privacy laws are enforced.