Ripple effect: Cambridge Analytica is long gone, but Meta's social networks will likely suffer from the consequences for years to come. A New Mexico jury found the company guilty of millions of UPA violations, which means Mark Zuckerberg's mega-corporation should now prepare to write a rather generous check.
The New Mexico Department of Justice recently announced a landmark decision from the jury in the State of New Mexico v. Facebook, Inc. case. Meta's social network was found guilty of violating the New Mexico Unfair Practices Act (UPA) more than 43 million times, providing misleading statements to local consumers about the company's data practices.
The trial was related to the Cambridge Analytica (CA) scandal, one of the biggest privacy-violation cases in recent history. Meta settled the CA class action years ago, while the British consulting company went bankrupt almost ten years ago. But privacy abuses perpetrated by the consulting firm are still haunting Meta's business.
New Mexico Attorney General Raúl Torrez said the verdict will act as a reminder that rules apply to everyone, even Facebook and other Big Tech players. The jury's decision might have a significant impact on both New Mexico and other states still trying to hold Big Tech accountable.
According to the jury's decision, Facebook lied to New Mexico netizens about how the company was managing their personal data. The network lied about its business practices with third-party companies, engaging in unfair and deceptive practices that allowed advertisers to easily access users' data. Furthermore, Facebook violated the UPA by profiting from misinformation and hate speech, while stating that it was actively removing or combating this kind of malicious content.
Facebook even lied in the statements following its internal investigation into Cambridge Analytica, the jury found. The social network had said it would probe third-party apps about their user data practices, conduct forensic audits, and more. The company apparently failed to fulfill its stated commitments.
After the jury's verdict, the judge is now required to decide how much Facebook will have to pay for the 43 million UPA violations. State authorities are looking to punish the company with the maximum civil penalty, which can be as high as $5,000 for each violation. Facebook might eventually be forced to pay the state of New Mexico billions of dollars.
Meta's reaction to the verdict was fairly predictable. A company spokesperson said that Meta's platforms are protected by First Amendment rights, which should cover free speech and users' rights over their data. The jury's decision apparently goes against this right, and Facebook will try to defend itself "against efforts to distort our record."
The Cambridge Analytica verdict comes a few months after Facebook lost another landmark case in New Mexico. In that particular case, a jury found the social network guilty of operating a service designed to hook younger users on the platform.