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Meta ordered to pay $942M over child harm in New Mexico

Financial Times Companies •
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A New Mexico judge ordered Meta to pay an additional $567mn in compensation and boost safety features on its apps, bringing total penalties to $942mn after a March jury award of $375mn. The suit, filed by Attorney‑General Raúl Torrez in 2023, accused the company of exposing children to explicit content, solicitation and trafficking.

Judge Bryan Biedscheid ruled the platforms constitute a “public nuisance,” citing research linking algorithm‑driven engagement to rising adolescent depression, eating disorders and suicide rates. He compared the harm to factory pollution, saying the burden falls on families, schools, hospitals and law enforcement.

About $420mn will fund community treatment and prevention programs. The order also requires Meta to add teen protections, verify ages, and block minors from romantic or sexualized interactions with its AI chatbots. Meta disagrees and plans to appeal, stating it works hard to keep users safe.

The case mirrors a Los Angeles verdict where Meta and Google were found liable for addictive design, suggesting a wave of similar suits akin to the Big Tobacco litigation.