Meta loses child safety case, hit with huge financial penalty

A New Mexico jury found Meta liable Tuesday for misleading consumers about the safety of its platforms and endangering children.

Meta has been ordered to pay the maximum penalties for each violation of New Mexico’s consumer protection laws, amounting to $375 million.

“Meta executives knew their products harmed children, disregarded warnings from their own employees, and lied to the public about what they knew,” New Mexico Attorney General Raúl Torrez said in a statement. “The substantial damages the jury ordered Meta to pay should send a clear message to big tech executives that no company is beyond the reach of the law.”

Meta, which owns the social media platforms Facebook, Instagram, and WhatsApp, plans to appeal the jury’s decision.

“We will continue to defend ourselves vigorously, and we remain confident in our record of protecting teens online,” Meta spokesperson Andy Stone said in a statement to the New York Times.

New Mexico’s Department of Justice launched an investigation into Meta platforms in 2023 in order to protect children from bad actors who sought to sexually abuse or solicit minors, among other harms. The state’s evidence included findings from that investigation, in addition to internal Meta documents and testimony from former Meta employees, child safety experts, law enforcement officials, and others.

The state argued that Meta’s design features helped pedophiles sexually exploit children on Meta platforms.

The loss is Meta’s first in a number of trials taking place this year. In Los Angeles, Meta and YouTube are on trial for allegedly designing addictive products for minors. Snapchat and TikTok were part of that trial but settled out of court.