Meta ordered to pay New Mexico $25 billion over Facebook privacy
A New Mexico judge ordered Meta to pay the state $25 billion on Wednesday, weeks after a jury found the company misled Facebook users about who could see their data. It is the largest penalty ever imposed on Meta, and the company says it will appeal.
AI-assisted · US Brief desk · Sources listed below
What happened
Santa Fe District Judge Francis Mathew ordered Meta Platforms on Wednesday to pay New Mexico $25 billion, weeks after a state jury found the company had misled Facebook users about its data-privacy practices. The jury found more than 43 million violations of the state's Unfair Practices Act. At the law's maximum of $5,000 per violation, that came to about $219.5 billion, which the judge cut to $25 billion, Reuters and Bloomberg Law reported. It is the largest penalty ever imposed on Meta, AP reported.
Why it matters
The award is five times the $5 billion the Federal Trade Commission fined Meta in 2019 over the same scandal, and it lands as Meta pours money into AI. Analyst Gil Luria of D.A. Davidson told Reuters the ruling is costly but unlikely to dent the value of a company worth nearly $2 trillion. The judgment also charges 15% interest a year until the sum is paid, or about $3.75 billion a year, according to the order as quoted by PPC Land.
More context
The case: Attorney General Raúl Torrez sued in 2021 after the Cambridge Analytica scandal, in which a political consulting firm that worked for Donald Trump's 2016 campaign obtained data from as many as 87 million Facebook profiles through a third-party quiz app. The state said Meta told users they controlled who saw their information when outside parties had broad access, and also misled the public about how it enforced rules on hate speech. The judge wrote that the misstatements were "willful," spanned more than 11 years, and that messages among senior leaders, including Mark Zuckerberg, were "part of a coherent strategy designed to mislead the public," CBS and the BBC reported.
The state's case: Torrez called it "one of the largest, if not the single largest state verdict against a company in American history" and said it sends "an unambiguous message" to Silicon Valley. New Mexico had asked for $35 billion to $40 billion, arguing only a sum big enough to move Meta's stock would change its behavior. Under the state constitution, consumer-protection fines go to education; Torrez said the award could pay for school construction "for the next 100 years," though the money would be tied up during an appeal, CBS reported.
Meta's case: Chief Legal Officer C.J. Mahoney said the ruling "makes it all but impossible to do business in the state of New Mexico" and that "at its core, this lawsuit seeks to impose a tax on speech to enforce new rules for what people can say online." Meta says it will win on appeal. Its lawyers had argued anything over $3.4 billion would violate its constitutional protections against excessive fines and its due-process rights.
Timeline: 2019, the FTC fines Meta $5 billion over Cambridge Analytica. 2021, New Mexico sues on its own rather than join a multistate deal. August 2026, Meta reaches a $17.1 billion multistate settlement over teen mental health, which included $459.2 million to settle six other states' Cambridge Analytica claims. September 2026, a New Mexico jury finds Meta misled consumers. Oct. 21, 2026, the judge sets the $25 billion penalty, hours before Meta's third-quarter earnings.
What's still unknown: The order does not explain how the judge arrived at $25 billion rather than another figure, according to PPC Land's reading of it, a gap that could matter on appeal. The court also put off deciding whether to order changes to Meta's practices until after more briefing. No appeal schedule has been set.
7 listed sources
- AP, Oct. 21, 2026
- Reuters via NBC News, Oct. 21, 2026
- CBS News, Oct. 21, 2026
- BBC News, Oct. 21, 2026
- Wall Street Journal, Oct. 21, 2026
- Bloomberg Law, Oct. 21, 2026
- PPC Land (judgment text), Oct. 21, 2026
References listed by US Brief; a source count is not a verification score.
Editorial sourcing notes
Published Oct. 21, 2026. The 15% interest rate and the judgment's wording come from the court order as quoted by PPC Land; other outlets had not reported those details at publication. Meta says it will appeal, and the money is not expected to be paid while that plays out.
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