Meta agrees to pay $1.4 billion to settle biometric data lawsuit in Texas

Texas Attorney General Ken Paxton announced on July 30th, Eastern Time, that social media giant Meta has agreed to pay $1.4 billion to settle the state's lawsuit over Facebook's unauthorized use of user biometric data.

The lawsuit, filed by Ken Paxton in February 2022, accuses Meta of illegally capturing and using the biometric information of millions of Texas residents through photos and videos uploaded by users on Facebook without legal permission.

The Attorney General's office revealed that since the introduction of the "tag suggestion" feature in 2011, Facebook has stored billions of biometric identifiers without user consent. Meta, without the knowledge of most Texas residents, ran facial recognition software on almost every face in photos uploaded to Facebook, recording data on facial structures.

Despite being aware of Texas' Biometric Identifier Capture or Use Act, which prohibits companies from capturing biometric information without notifying and obtaining user consent, Meta still carried out these operations.

In response to concerns about facial recognition technology, Meta announced at the end of 2021 that it would shut down the facial recognition feature on Facebook. The settlement agreement has been submitted to the Harrison County District Court in Texas and is the largest settlement amount obtained in a single-state lawsuit, with Meta set to pay this settlement over five years.

Ken Paxton stated in a release:

"This historic settlement demonstrates our determination to hold the world's largest tech companies accountable for their illegal actions and violations of Texas residents' privacy rights. Any misuse of sensitive data of Texas residents will face severe legal consequences."

A spokesperson for Meta told the media:

"We are pleased to resolve this matter and look forward to further expanding business investments in Texas, including the development of data centers."

Although the settlement was announced on Tuesday, according to the law firms McKool Smith and Keller Postman representing Texas, the agreement was actually reached two months before the June trial. At that time, the parties requested a pause in the litigation process to finalize the specific terms of the deal before making a public announcement.

Furthermore, Ken Paxton's office is also continuing to sue Alphabet, accusing Google of illegally collecting the biometric data of millions of Texas residents