Tech

Meta faces $1.4 trillion penalty in federal trial over COPPA and addiction claims

Judge Yvonne Gonzalez Rogers will determine the verdict and penalties in a case where Meta has dismissed the requested fines as “outlandish” while facing mounting legal costs.

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Owen Mercer
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Source: Engadget · View original source
Meta faces a $1.4 trillion reckoning in latest trial over social media addiction
States allege the tech giant violated children’s privacy laws and misled consumers, sparking a six-week hearing in Oakland

Meta is set to face a federal trial in Oakland, California, beginning on Tuesday, 18 August 2026, after a judge rejected the company’s final attempt to dismiss the case. The litigation involves dozens of US states, specifically California, Colorado, Kentucky, and New Jersey, accusing the technology giant of violating the Children’s Online Privacy Protection Act (COPPA) and state consumer protection laws.

The states allege that Meta intentionally designed addictive features and collected data on users under the age of 13 without permission. Additionally, the plaintiffs claim the company misled the public regarding the safety of its applications. The trial is expected to last approximately six weeks, with opening arguments commencing on Tuesday.

Financial stakes in the case are significant, with Meta stating in court filings that the states are seeking penalties as high as $1.4 trillion. The company has labelled this figure “outlandish” and “vastly disproportionate,” arguing that the states offer no proof that residents were misled. Presiding Judge Yvonne Gonzalez Rogers has also described the $1.4 trillion demand as “unreasonable,” though she has similarly criticised Meta’s own proposed estimate of $4 million.

Unlike standard jury trials, the eight-member jury in this case will serve an advisory role. Judge Rogers retains full authority to determine the final verdict and impose any penalties. The company has stated that the states’ claims are unsubstantiated and that they are attempting to penalise Meta for industry-wide challenges such as age verification.

Meta is currently navigating thousands of lawsuits concerning user safety and the impact of its apps on teen mental health. The company reported spending $2.4 billion on legal costs in the second quarter of 2026 alone. Juries in Los Angeles and New Mexico have previously ruled against Meta in similar high-profile cases, decisions which the company intends to appeal.

Testimony from Meta CEO Mark Zuckerberg and Instagram chief Adam Mosseri is expected during the proceedings. Both executives have appeared in other trials this year; during testimony in February, Zuckerberg stated that Instagram is designed to be “useful” rather than addictive. Audio from the trial will be live-streamed on the court’s YouTube channel.

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