In a landmark case, Meta (formerly Facebook) has agreed to pay a record-breaking $1.4 billion to settle a lawsuit filed by the state of Texas over the unauthorized use of biometric data by its users. Texas Attorney General Ken Paxton brought the lawsuit against Meta, accusing the tech giant of capturing and utilizing the biometric data of millions of Texas residents without their consent. This data was gathered from photos and videos uploaded to Facebook, a practice that had been ongoing for over a decade.
The attorney general’s office highlighted that Meta’s actions were in direct violation of Texas’ Capture or Use of Biometric Identifier Act, which prohibits companies from collecting biometric identifiers without first informing and obtaining consent from individuals. Despite being aware of these laws, Meta continued to run facial recognition software on uploaded images, storing billions of biometric identifiers without user consent after introducing the “Tag Suggestions” feature in 2011.
The legal settlement, filed in a Texas state district court, marks the largest amount ever obtained as a result of a single state’s legal action. Meta has agreed to pay out the $1.4 billion over a five-year period as part of the settlement. Attorney General Paxton emphasized the significance of holding tech companies accountable for privacy violations, stating that any abuse of Texans’ sensitive data would be met with legal repercussions.
In response to the settlement, a spokesperson for Meta expressed satisfaction with resolving the matter and indicated a willingness to deepen business investments in Texas, potentially including the development of data centers. Despite the settlement being announced recently, the agreement was actually reached months prior, just before a scheduled trial in June. It was during this time that both parties paused proceedings to finalize the terms of the settlement.
Ongoing Legal Actions
While the settlement with Meta has been resolved, Attorney General Paxton’s office is still pursuing legal action against Alphabet, the parent company of Google. The lawsuit against Alphabet alleges that the tech giant illegally collected biometric data from millions of Texans, further underscoring the significance of protecting privacy rights in the digital age.
Ultimately, Meta’s $1.4 billion settlement serves as a stark reminder of the consequences that tech companies may face for failing to comply with privacy laws. This case also demonstrates the importance of continued vigilance in safeguarding individuals’ biometric data and holding accountable those who violate privacy rights.
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