Meta Ordered to Pay $942 Million in New Mexico Child-Safety Lawsuit

Meghan Bobrowsky and Erin Mulvaney, reporting for The Wall Street Journal (gift link):

A New Mexico judge ordered Meta Platforms to pay more than $900 million and limit the time young people in the state can spend on its apps, significantly increasing the cost of the landmark child safety verdict against the Facebook and Instagram parent.

The judge said Thursday that Meta must create a new $567 million abatement fund in addition to paying $375 million in civil penalties that a jury previously ordered. The company must also enact certain safety features such as limiting the amount of time underage users in the state spend on Facebook and Instagram, hiding by default the number of “likes” on photos for such people and disclosing to users there the risks of its platforms.

The creation of the fund, aimed at rectifying harms caused by the Facebook parent’s social-media apps, was “necessary, due to the wide-ranging impacts of the harm and the complex nature of the remedy,” state Judge Bryan Biedscheid said. The dollar-amount of the abatement fund was slightly smaller than the $779.5 million attorneys for the state sought.

Meta said it disagreed with the ruling and planned to appeal.

You don’t say.

The next trial, brought by four state attorneys general, begins jury selection in Oakland, Calif., next week. Meta said in a court filing that the states in that case are asking for more than $1 trillion in damages.

The case they just lost, with a judgment of about $1 billion, was for New Mexico alone. If this isn’t overturned, and then sets nationwide precedent, we’re talking real money. The tobacco companies survived, but this seems like that. Investors seem unconcerned — Meta’s stock is up 1.5% so far this morning.

★ Friday, 7 August 2026