A New Mexico court has ordered Meta to pay $942 million after determining that its Facebook and Instagram platforms harmed young users and that the company misled consumers regarding the safety of its products. The judgment combines a $375 million civil penalty verdict from March with a new order for a $567 million abatement fund, intended to address the damage caused.
The court accepted the state's argument that Meta had concealed its knowledge of risks to children’s mental health and child sexual exploitation, while simultaneously making misleading claims about the safety of its products. Meta has stated its disagreement with the ruling and plans to appeal, asserting confidence in its record of protecting teenagers online.
Beyond the monetary fine, the ruling also imposes specific product-level obligations within New Mexico. Meta must enhance its age-assurance tools, including developing an under-13 prediction model within two years. The company will be required to seek proof of age from users it estimates are under 13 and treat accounts with uncertain age as belonging to minors until their age is verified. Additionally, Meta must delete personal data collected from users under 13.
Further requirements include creating a dedicated channel for schools or child-safety organizations to report suspected underage accounts and submitting compliance updates twice annually. This case specifically scrutinizes whether Meta’s product design, age verification processes, disclosure practices, and reporting systems adequately protect children.
This New Mexico ruling is one of many legal challenges Meta is currently facing. The company is battling thousands of lawsuits filed by individuals, school districts, and over 40 state attorneys general across various state and federal courts.
Concerns about Meta's platforms and child safety have been highlighted by other reports, including research indicating that Meta has not always been effective in blocking advertisements containing AI-generated Child Sexual Abuse Material (CSAM).
