New Mexico jury orders Meta to pay $25B for deceiving users on privacy

The verdict caps a state consumer-protection case focused on how Meta represented its data practices to users. At $25B, the award rivals the largest regulatory penalties levied on Big Tech, though jury awards are often reduced on appeal, and Meta is all but certain to appeal.

The timing stings. A day earlier, Meta reported $64.6B in Q3 revenue and raised 2026 AI capex to as much as $145B, funded in part by a new class of non-voting stock. An AI strategy built on personal agents like Muse depends on deep access to user data, which is exactly what the jury found Meta misrepresented.

In context, other state attorneys general have pursued similar theories, and a large verdict in one state tends to embolden others. The AI-agent era raises the stakes because agents need broader data permissions than feeds do.

Watch for Meta's appeal, any reduction of the award, copycat suits, and whether the ruling shapes disclosures for Muse's data use. Analysis of how the verdict interacts with Meta's AI plans is our framing, not a finding of the court.