A New Mexico state court has ordered Meta Platforms to pay $567 million and implement sweeping changes to Facebook and Instagram, concluding the second phase of a landmark trial over the harm its platforms cause to children.
The decision brings Meta’s total liability in the case to $942 million, following an earlier $375 million judgment. Jurors previously determined that the company knowingly damaged children’s mental health and concealed what it knew about child sexual exploitation occurring on its platforms.
Beyond the financial penalty, Judge Bryan Biedscheid directed Meta to make fundamental changes designed to reduce addictive features, strengthen age verification, and prevent child sexual exploitation. The company was ordered to improve how it reviews and responds to reports of child sexual abuse, to limit how chatbots interact with minors, and to cap the number of hours users under 17 can spend on its platforms.
Facebook and Instagram must also build banner and informational screens explaining protection features, best practices, and tools for addressing inappropriate comments, displaying them regularly. Those measures, along with an educational campaign in New Mexico, would be subject to state review.
New Mexico Attorney General Raúl Torrez, who brought the case, framed the ruling as a potential catalyst for broader scrutiny of the technology industry. “They have not shown any willingness to either accept responsibility for their conduct or concede they have a role to play in fixing and addressing the harms that they created,” Torrez said.
The outcome adds to mounting legal pressure on major technology firms across the United States over data practices and child safety. Similar actions have targeted other industry leaders, including a $1.375 billion settlement reached with Google in Texas over data privacy violations.
The ruling arrives as Meta navigates a series of financial and regulatory challenges on multiple fronts. The company has committed tens of billions of dollars to artificial intelligence investment while facing heightened oversight of its business dealings abroad.
Meta has consistently defended its safety record, pointing to existing parental controls and content moderation systems. The company is expected to weigh an appeal of the judgment.
The New Mexico case is among the most significant legal tests yet of whether social media companies can be held accountable for the design of their platforms. Its outcome could influence a wave of similar lawsuits and legislative efforts nationwide aimed at regulating how minors experience social media.
The mandated platform changes and their implementation timeline remain subject to further proceedings, with state authorities positioned to monitor compliance.