A New Mexico judge ordered Meta to pay $567m and alter how its major social media platforms operate for young users across the state. The decision comes in the second phase of a landmark trial after jurors previously found the company responsible for harming children’s mental health.
A New Mexico court on Thursday ordered Meta to pay $567m and alter how its major social media platforms operate for young users across the state. The decision comes in the second phase of a landmark trial after jurors previously found the company responsible for harming children’s mental health.
Financial Penalties and Abatement Fund Breakdown
The initial financial penalty stemmed from a March verdict where jurors determined that Meta violated the state’s consumer protection law by misrepresenting the safety of Facebook and Instagram for young users.
Following the latest bench trial, which focused on whether Meta’s platforms created a public nuisance under state law without involving a jury, Judge Biedscheid detailed how the new funds will be allocated. The bulk of the money, totaling $420m, is earmarked directly for youth treatment services. The remaining funds will cover awareness, prevention, screening services, and other related costs over the next five years. Prosecutors had asked for fundamental platform overhauls during this second phase, pointing to addictive features, inadequate age verification, and default privacy settings.
Mandated Platform Changes and State Oversight
Beyond the financial penalties, the ruling forces tangible adjustments to the user experience on Facebook and Instagram within New Mexico. Judge Biedscheid ordered Meta to build banner and informational screens designed to clearly explain protection features, best practices, and tools for handling inappropriate comments. These educational screens must be displayed regularly to users.
State officials will exercise direct oversight of these changes. Both the newly mandated informational displays and a state-level educational campaign will be subject to ongoing review by New Mexico authorities.
Corporate Response and Legal Appeal Plans
Meta immediately pushed back against the decision and confirmed plans to challenge the ruling in a higher court.
The company defended its operational record, pointing to ongoing difficulties in policing large-scale digital platforms. In a statement, representatives maintained that we work hard to keep people safe on our platforms and have been transparent about the challenges of identifying and removing bad actors and harmful content
while emphasizing that the firm remains confident in its safety measures.
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