Meta has agreed to a settlement of $1.4 billion with the Texas Attorney General Ken Paxton, concluding a dispute that dates back two years over the utilization of facial recognition technologies by the company.
“We’ve zealously sought justice for residents whose privacy was breached by Meta through its facial recognition technologies. It brings me great pride to declare this settlement as the most significant ever achieved by a single state in such matters,” Attorney General Paxton stated in a press announcement.
Originating from a 2022 legal action, the substantial settlement addresses accusations against Meta for its historical application of facial recognition tech, which purportedly contravened state-level privacy laws. The complaint outlined how Facebook purportedly accumulated and retained millions of biometric data from user-uploaded photos and videos without properly informing the users or securing their approval. Meta initially dismissed these allegations as baseless.
According to the agreement, Meta will compensate the state of Texas $1.4 billion in staggered payments over a span of five years, with an upfront payment of $500 million to be made within the forthcoming month, as detailed in court documents.
The legal battle centered around a specific feature introduced by Facebook in 2011, known as “Tag Suggestions,” designed to simplify the tagging of individuals in photos by automatically suggesting names and profiles. This system, according to state prosecutors, employed facial recognition technology on nearly all images on Facebook, spanning over a decade.
Meta expressed contentment in reaching a resolution, signaling anticipation for future ventures that could enhance its investments within Texas, which might include the development of data centers, as conveyed by a spokesperson to TechCrunch via email.
Compiled by Techarena.au.
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