In a landmark settlement, Meta, the parent company of Facebook, has agreed to pay $1.4 billion over five years to settle a lawsuit filed by the state of Texas. The lawsuit, filed in 2022, alleged that Meta unlawfully used facial recognition technology on Texans without their consent, violating the state’s 2009 Capture or Use of Biometric Identifier (CUBI) Act. While Meta has denied any wrongdoing, the settlement marks a significant victory for Texas in its pursuit of protecting citizens’ biometric data privacy.
The settlement agreement, which was announced by Texas Attorney General Ken Paxton, highlights the growing concerns over the use of facial recognition technology and its potential for misuse. The CUBI Act prohibits companies from collecting and using biometric data without explicit consent from individuals. The lawsuit specifically targeted Facebook’s 2011 photo tagging feature, which used facial recognition software to identify people in images and suggested tagging them, linking them to their profiles. This practice, according to Texas prosecutors, violated the CUBI Act by collecting and using Texans’ facial data without their knowledge or consent.
Paxton’s statement emphasizes the importance of safeguarding sensitive data and warns other tech companies that any violation of Texas’ laws regarding biometric data will be met with strict enforcement. The settlement amount of $1.4 billion represents a new record for the largest amount paid by a single company in a state lawsuit over biometric data privacy. This settlement serves as a strong signal to tech giants that they must prioritize user privacy and comply with relevant laws concerning the collection and use of biometric data.