Facebook held liable in New Mexico privacy case as TikTok agrees settlement

Facebook has been found liable in New Mexico over allegations that it misled consumers about data privacy, while TikTok has agreed to pay at least $100m to settle a separate Alabama case, according to Al Jazeera. A jury found Facebook, owned by Meta, had violated 43 million state consumer-protection laws. The New Mexico case involved claims that the company misled users about a data breach involving information from about 87 million profiles.

The data was collected through a third-party personality quiz and provided to Cambridge Analytica, which used it to create targeted advertisements. The political consulting firm worked on Donald Trump’s 2016 presidential campaign and intended to work with a pro-Brexit group. Jurors also found that Facebook made deceptive statements about protecting New Mexico residents’ data and about investigations into third parties that harvested user information.

The state’s Department of Justice called the verdict a significant victory for consumers. Meta spokesperson Alex Burgos said the company disagreed with the verdict and would continue defending itself against what he called efforts to distort its record. The case is the only state action over the Cambridge Analytica breach, according to the supplied material.

TikTok and its Chinese parent, ByteDance, agreed to settle Alabama allegations days before trial. The state accused TikTok of designing an addictive platform, pushing increasingly violent content to young users and misleading consumers about safety and data access. Under the agreement, Alabama will receive at least $100m within 45 days and could receive up to $300m if conditions are met.

TikTok also agreed to a two-hour daily time limit, 15-minute usage pauses and improved age checks. At least 27 other states and Washington, DC, have filed similar claims.