Meta Settles $8 Billion Privacy Lawsuit with Shareholders

Meta Platforms, Inc. has reached a settlement with shareholders to conclude a lawsuit alleging privacy violations on Facebook. The lawsuit, initiated by investors, sought $8 billion in damages, claiming that Meta's leadership failed to protect user data adequately. The settlement was announced on July 17, 2025, just one day into the trial, with details remaining undisclosed. This legal action was the first to test "Caremark claims," a stringent legal standard for corporate oversight, and was halted after the settlement was reached. The case underscores the ongoing scrutiny of technology companies over data privacy practices. Meta has stated that it has invested significantly in privacy improvements since 2019.