How Many Billions Would It Take to Hold Meta Accountable?

Wired ·

A New Mexico jury found Meta violated the state’s Unfair Practices Act by misleading users about how it handled their data, prompting a multibillion-dollar penalty. The case adds to a series of legal losses and settlements, but the article argues that fines so far are too small to force meaningful change at a company valued at about $1.7 trillion.

The judge reduced the latest New Mexico penalty from a potential $219 billion to $25 billion, after prosecutors had sought $35 billion to $45 billion. Meta also faces a $375 million child-safety ruling and a further $567 million penalty in New Mexico, a $6 million award in a case with YouTube over app design, and a reported $17 billion to $18 billion settlement with US states over alleged harms to children. The article says trials can still expose internal records to public scrutiny, while insurance companies may gain influence over technology firms’ practices.

In short

  • Meta faces a $25 billion New Mexico penalty after a data practices case.
  • The company has faced several other major rulings and settlements.
  • Public disclosures and insurers may put pressure on Meta beyond fines.

Steelman: both sides, in good faith

The strongest fair case each way — we don't pick a winner.

The case for

Large penalties are justified when a company’s conduct causes serious public harm and ordinary remedies have failed to change its behaviour. Given Meta’s scale and resources, a fine that seems substantial in isolation may have little effect, while larger sanctions could deter future misconduct and give the public confidence that data and child-safety rules are enforceable.

The case against

Penalties should remain proportionate to proven violations and be set through predictable legal standards, rather than calibrated to a company’s market value or public anger. Very large awards can risk undermining due process, diverting resources from product improvements or users, and chilling innovation; trials and targeted remedies may also promote accountability by exposing evidence and requiring specific changes.

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