Meta Platforms vowed to appeal a jury verdict ordering it to pay $375 million in penalties, contesting the findings that it misled users and failed to keep children safe on its platforms.
“We respectfully disagree with the verdict,” a Meta spokesperson said. The company spokesman added that Meta continues to invest in safety tools as it also acknowledges the challenge of detecting harmful actors online. The statement signals the tech giant’s readiness to prolong a legal battle that could reshape how courts hold social media companies accountable for user harm, especially among minors.
Shares uptick despite verdict
Despite the verdict, the investor appeared largely unmoved. Shares of META ticked up 0.8 percent in after-hours trading, Reuters reported. This suggests that markets may be pricing in a prolonged appeals process rather than an immediate financial or operational impact.
The contrast — a modest stock gain despite a landmark legal loss — highlights a pattern of regulatory and legal pressures against Meta, but it did not dent investors’ confidence.
The verdict was handed down on Tuesday after less than a day of jury deliberation. It ordered the giant tech company to pay $375 million in civil penalties, merely a fraction of the over $2 billion sought by state prosecutors.
The lawsuit, filed by Attorney General Raúl Torrez, accused Meta of downplaying risks on platforms widely used by minors, such as Facebook, Instagram, and WhatsApp.
Pattern of harm
State attorneys, during the six-week trial, argued that Meta’s systems allowed predators to access underage users with the least resistance. Sometimes it led to real-world abuse and human trafficking. “Over the course of a decade, Meta has failed over and over again to act honestly and transparently,” Linda Singer, a lawyer representing the state, said during closing arguments.
Prosecutors described the case not as isolated incidents, but a systemic failure. They alleged that design choices and weak enforcement tools resulted in harmful interactions despite public assurances of safety.
The ruling was the first time a jury weighed in on claims that platforms owned by Meta contributed to child exploitation. “This is a historic victory for every child and family who has paid the price for Meta’s choice to put profits over kids’ safety,” Torrez, in a statement, said.
The case is entering a new phase. State prosecutors are expected to seek court-ordered changes to Meta’s platforms that could carry consequences that outweigh financial penalties.
