Meta faces $375 million fine for enabling child sexual exploitation on Facebook and Instagram

(SeaPRwire) –   New Mexico has mandated that Meta, the parent company of Facebook, pay $375 million for profiting from the exposure of minors to online abuse.

Meta has been directed to pay $375 million for intentionally damaging the mental health of children and suppressing evidence regarding child sexual exploitation on its platforms.

The New Mexico Department of Justice announced the decision on Tuesday following a jury verdict that determined the company breached state law. This represents the inaugural case centering on the impact of social media regarding child sexual abuse and mental health degradation.

This significant ruling follows a seven-week trial initiated by an undercover probe carried out by state officials in 2023.

Law enforcement agents established dummy accounts on Meta’s platforms and successfully identified two individuals who attempted to solicit sexual acts from the agents, believing them to be minors. Both individuals were subsequently taken into custody.

According to the official report, Meta staff and independent child safety specialists frequently voiced concerns regarding these dangers, yet these warnings were largely disregarded.

A former employee of Meta noted that the same personalized algorithms that allow the company’s platforms—such as Facebook, Instagram, WhatsApp, and Threads—to excel at targeted advertising can be equally exploited by pedophiles.

The jury identified 75,000 separate violations, imposing a penalty of $5,000 for each. The state’s remaining claim, which asserts that Meta created a public nuisance that threatens the health and safety of residents, is scheduled for a bench trial in May. Officials intend to pursue mandates for platform modifications, including the implementation of age verification and the removal of predators.

In response to the verdict, a representative for Meta stated that the company intends to appeal.

This case marks the second major legal challenge in 2026 against the tech corporation regarding alleged harm to minors. Another prominent trial is currently underway in Los Angeles, where families and educational institutions have launched the first product liability lawsuit against Meta, TikTok, and YouTube, alleging that these platforms were intentionally engineered to foster addiction and impair the mental health of children.

Globally, the company is facing mounting regulatory scrutiny; it was designated an “extremist organization” in Russia in 2022 and is contending with various EU actions, including a €797 million ($940 million) antitrust penalty, alongside various cases involving copyright, data protection, and advertising across Europe.

Growing anxieties regarding online child safety are intensifying legal pressure. Within the United States, Meta is dealing with litigation concerning addictive features and user safety, while nations including Australia, Denmark, France, Spain, Italy, Slovenia, the UK, Indonesia, and Malaysia are either implementing or considering restrictions on social media usage for children and adolescents.