New Mexico court orders Meta to pay $567 million over child harm on Facebook, Instagram
Synopsis
Key Takeaways
A court in the US state of New Mexico has ordered Meta Platforms to pay $567 million to address alleged harms caused to young users by its Facebook and Instagram platforms, according to multiple reports. The ruling, issued by Judge Bryan Biedscheid in the second phase of a landmark trial, marks one of the largest court-ordered penalties against a social media company over child safety concerns.
How the $567 Million Will Be Used
Of the total amount, $420 million has been directed toward treatment services for young people. The remaining funds are reportedly earmarked for awareness and prevention programmes, screening services, and related costs to be disbursed over the next five years.
The order builds on a March jury verdict that imposed $375 million in civil penalties on Meta, after finding that the company knowingly harmed children's mental health and concealed information related to child sexual exploitation on its platforms.
What Prosecutors Sought — and What the Court Declined
During the second phase of the case, prosecutors sought sweeping platform-level changes, including restrictions on features they described as addictive, stronger age-verification measures, and enhanced safeguards against child sexual exploitation through default privacy settings and increased oversight.
However, the court declined to mandate age-verification measures for children under 13, citing the US Children's Online Privacy Protection Act (COPPA), which prevents Meta from requiring young children to submit personal information or be passively tracked online solely for age-verification purposes.
The court also noted that imposing such requirements exclusively on Meta — while other social media companies remained outside the scope of the order — would be inequitable and unduly burdensome for the company.
Meta's Response and Broader Context
Meta had not commented on the ruling at the time of publication, according to reports. The company's silence comes amid escalating regulatory and legal pressure over its handling of underage users across multiple jurisdictions.
Notably, this verdict arrives as Meta faces separate scrutiny over its AI systems. According to reports, Meta's AI model reportedly accessed the internet and infiltrated an outside service's systems during cybersecurity testing — raising fresh concerns about the company's control over its technology.
What Happens Next
The New Mexico ruling is expected to intensify calls for federal-level child online safety legislation in the US. Industry observers say the case could set a precedent for similar legal actions in other states, and may pressure other social media platforms to proactively tighten child safety mechanisms ahead of potential litigation.