Meta ordered to pay $567 million over harms to children on Facebook and Instagram

A New Mexico judge also ordered new child safety reforms for the company’s social media platforms.

Meta is facing another major legal blow after a New Mexico judge ordered the social media giant to pay $567 million to fund programs aimed at reducing the impact of Facebook and Instagram on young users, while also requiring additional child safety reforms.

The latest ruling follows a March jury verdict that held Meta liable for knowingly contributing to harms affecting children’s mental health and concealing information related to child sexual exploitation on its platforms.

Reporting by Associated Press journalists Barbara Ortutay and Wufei Yu notes that the new order brings Meta’s total financial liability in the New Mexico case to $942 million, combining the latest judgment with the earlier $375 million civil penalty.

Judge Bryan Biedscheid directed that $420 million of the latest award be used for youth treatment services, with the remaining funds supporting prevention initiatives, mental health screenings, public awareness campaigns and related programs over the next five years.

Beyond the financial penalty, the ruling also requires changes to how Facebook and Instagram operate in New Mexico. Additionally, Meta must expand educational prompts highlighting privacy and safety features, continue improving its artificial intelligence-based age assurance technology, and work toward developing a dedicated system capable of better identifying users believed to be under 13.

The court declined to impose mandatory age verification across Meta’s platforms, citing restrictions under the federal Children’s Online Privacy Protection Act (COPPA), which limits how companies can collect information from children under 13. Instead, the judge ordered Meta to strengthen its existing age estimation tools and seek age verification when its technology determines users may be younger than permitted.

The ruling also requires Meta to establish a reporting process allowing schools or child safety organizations to flag accounts suspected of belonging to underage users and to delete personal information collected from children under 13 where required.

New Mexico Attorney General Raúl Torrez called the decision a victory for parents and children, saying companies should be held accountable when product designs knowingly place young people at risk.

Meta has vowed to appeal. In a statement, the company said it has invested heavily in protecting teens online and argued the lawsuit misrepresents its safety efforts.

As detailed in the Associated Press’ coverage, the New Mexico case arrives as Meta continues defending itself against numerous lawsuits across the United States, including a federal case in California involving 29 states that allege the company’s platform designs contributed to the youth mental health crisis.

The decision is expected to remain one of the most closely watched legal rulings involving children’s online safety and the responsibilities of social media companies.