A court in New Mexico has ordered Meta Platforms to pay $567 million into a fund to address harms caused to children using its social media platforms, in a ruling that has drawn sharp criticism from American lawmakers against Big Tech’s influence on underage users.
The decision, delivered by Judge Bryan Biedscheid of the New Mexico First Judicial District Court, requires the parent company of Facebook and Instagram to direct $420 million of the fine toward youth mental health treatment services. The remainder will fund awareness, prevention, and screening programmes over the next five years.
The judge ruled that Meta’s platforms operate as a “public nuisance,” comparing their effects on children to industrial pollution. “The harmful effects of Meta’s platforms on children do not stay contained by its platforms,” the judge wrote.
The fine comes on top of a $375 million civil penalty imposed in March, bringing Meta’s total liability in the case to $942 million. The company, which generates approximately $60 billion in annual profits, has indicated it will appeal the ruling.
Reacting to the development, United States Senator Bernie Sanders issued a strongly-worded condemnation of Meta, declaring that Mark Zuckerberg’s greed is fueling a youth mental health crisis in America.
“Mark Zuckerberg’s greed is fueling a youth mental health crisis in America,” Sanders said. “Good start. We cannot allow Meta to put its short-term profits above the emotional well-being of our kids.”
The Vermont independent, who has been touring the country on his “Fight Oligarchy” campaign, drew a parallel between technology companies and Big Tobacco, arguing that corporate leaders are knowingly designing addictive features that harm children.
“Big Tech oligarchs have spent billions to addict our children to screens,” Sanders added in a social media post. “This is rewiring the brains of kids and causing severe damage to their mental and cognitive health.”
At a recent rally, Sanders also warned against children becoming socially isolated through excessive screen time, stating: “I do not want the next generation to have as their friends AI bots. I want them to have other kids, other human beings as their friends.”
Beyond the financial penalty, the court mandated sweeping protections for young users in New Mexico. These include default private settings for teen accounts, disabled notifications during school hours and overnight, and a mandatory monthly usage limit of 90 hours, equivalent to approximately three hours daily.
The judge also ordered Meta to delete all accounts and collected personal data for users under the age of 13, and to develop an “under-13-years-of-age prediction model” within two years to identify and remove underage users.
New Mexico Attorney General Raúl Torrez described the ruling as “a victory for every parent who has worried about what social media is doing to their child.”
In response, a Meta spokesperson said: “We remain confident in our record of protecting teens online and will continue to defend ourselves against claims that misrepresent the facts.”
The New Mexico case is one of several legal battles facing Meta. A federal trial involving 29 states is scheduled to open in California later this month, with attorneys general alleging that the company knowingly designed features to addict young users while misrepresenting the safety of its platforms.
Thousands of similar lawsuits have also been filed by school districts and families across the United States.
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