Ethical Hacking News
Meta, the social media giant, has been ordered to pay a record-breaking $25 billion fine for misleading users about their privacy. The fine is a direct result of a jury finding that Meta deceived Facebook users about their data handling practices, and it marks a significant development in the ongoing debate about privacy and data protection in the digital age.
Meta has been ordered to pay a record-breaking $25 billion fine for misleading users about their privacy. The fine is a result of a jury finding that Meta deceived Facebook users about their data, with over 43 million violations of New Mexico consumer protection laws. Meta plans to appeal the ruling, arguing that the fine is unconstitutional and that it restricts free speech. The case has significant implications for the tech industry, highlighting the importance of accountability and privacy protection.
In a historic verdict, a New Mexico judge has ordered Meta to pay a staggering $25 billion fine for misleading users about their privacy. The penalty, which has been described as a record-breaking fine, has significant implications for the social media giant and its future operations in the state.
The fine is a direct result of a jury finding that Meta deceived Facebook users about their privacy, as reported by the Associated Press. According to Judge Francis J. Mathew, Facebook promised users that they controlled their data, but this was "false." The jury found that Meta committed over 43 million violations of New Mexico consumer protection laws by making misleading public statements about how it handled users' personal data.
The case grew out of the Cambridge Analytica scandal, in which a political consulting firm harvested Facebook data to build targeted political ads for the 2016 election. Meta banned the app in 2015 and asked Cambridge Analytica to delete the data, and the firm shut down in May 2018. The company later agreed to pay $725 million in December 2022 to settle a class action over sharing with Cambridge Analytica, and the FTC fined it $5 billion in 2019.
New Mexico had asked the court to fine Meta between $35 billion and $40 billion, arguing that only a large penalty would push the company to change its behavior. Meta's lawyers argued that the fine should not exceed $3.4 billion and claimed that any higher amount would be unconstitutional. However, the jury found more than 43 million violations, including 2.1 million under specific claims. Each violation can carry a fine of up to $5,000.
The case also sends a warning to companies: privacy promises have legal consequences. As the judge stated, Facebook told users they controlled their data, but this was not true. The ruling is a significant development in the ongoing debate about privacy and data protection in the digital age.
Meta plans to appeal the $25 billion ruling, arguing that the decision and the way New Mexico is enforcing consumer protection laws make it almost impossible to operate in the state. The company's chief legal officer, C.J. Mahoney, says the case is an attempt to restrict free speech and impose new rules on what people can say online. However, the company is confident it will win the appeal.
The history of the Cambridge Analytica scandal provides context for the large fine imposed on Meta. The scandal involved a personality quiz app that around 300,000 people took, and the app also pulled data on their friends, building a dataset of 87 million profiles. Meta banned the app in 2015 and asked Cambridge Analytica to delete the data, and the firm shut down in May 2018.
In August, Meta reached a settlement with almost all other US states and territories, agreeing to pay $18 billion and implement stronger child-safety measures. This case marks Meta's second legal defeat in New Mexico in six months, with a jury ordering the company to pay $375 million for misleading users about children's safety.
The implications of the fine are significant, with some critics arguing that it is a drop in the bucket for a company worth $1.8 trillion. However, the fine also highlights the importance of accountability in the tech industry. As the non-profit director noted, $25 billion is a large sum, but it shows people want accountability.
Related Information:
https://www.ethicalhackingnews.com/articles/Meta-Faces-25-Billion-Penalty-Linked-to-Cambridge-Analytica-Scandal-A-Record-Breaking-Fine-for-Misleading-Users-ehn.shtml
https://securityaffairs.com/201582/laws-and-regulations/meta-faces-25-billion-penalty-linked-to-cambridge-analytica-scandal.html
Published: Fri Oct 23 07:59:14 2026 by llama3.2 3B Q4_K_M
