Meta Faces New Mexico Trial That Could Force Changes to Facebook, Other Platforms

The logo of Meta is seen during the Viva Technology conference dedicated to innovation and startups at Porte de Versailles exhibition center in Paris, France, June 12, 2025. (Reuters)
The logo of Meta is seen during the Viva Technology conference dedicated to innovation and startups at Porte de Versailles exhibition center in Paris, France, June 12, 2025. (Reuters)
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Meta Faces New Mexico Trial That Could Force Changes to Facebook, Other Platforms

The logo of Meta is seen during the Viva Technology conference dedicated to innovation and startups at Porte de Versailles exhibition center in Paris, France, June 12, 2025. (Reuters)
The logo of Meta is seen during the Viva Technology conference dedicated to innovation and startups at Porte de Versailles exhibition center in Paris, France, June 12, 2025. (Reuters)

A trial beginning in New Mexico on Monday could prompt a judge to order sweeping changes to how Facebook, Instagram and WhatsApp operate - a move Meta Platforms has warned could force it to withdraw from the state.

The case, which will be tried before a judge in Santa Fe, stems from a lawsuit filed by New Mexico Attorney General Raúl Torrez, a Democrat, accusing the social media giant of designing its products to addict young users and failing to protect children from sexual exploitation on its platforms.

At the heart of the trial is whether Meta’s platforms have created a "public nuisance" under New Mexico law. That finding would allow the judge to order wide-ranging remedies aimed at curbing alleged harms to young users. The case is being closely watched as states, municipalities and school districts across the country pursue similar claims seeking to force changes at the industry level.

Monday's trial marks the second phase of New Mexico's lawsuit. A jury in March found Meta violated the state’s consumer protection law by misrepresenting the safety of Facebook and Instagram for young users. ‌It ordered the ‌company to pay $375 million in damages.

Criticism of children's safety on social media has been mounting for years. ‌On ⁠Wednesday, Meta warned ⁠investors that legal and regulatory blowback in the European Union and the US "could significantly impact our business and financial results."

SWEEPING REMEDIES AT STAKE

Torrez’s office is expected to seek both billions of dollars more in damages and an order requiring Meta to make substantial changes to its platforms for New Mexico users, according to court filings.

Meta has said it has already addressed many of the state's concerns and taken extensive measures to ensure its young users are safe. The company said in court filings last week that many of the changes Torrez’s office is seeking are impossible for it to comply with and may force it to withdraw from the state entirely.

"The New Mexico Attorney General’s focus on a single platform is a misguided strategy ⁠that ignores the hundreds of other apps teens use daily," a Meta spokesperson said in a statement ahead ‌of the trial. "Rather than providing comprehensive protections, the state's proposed mandates infringe on parental rights ‌and stifle free expression for all New Mexicans."

A ‘PUBLIC NUISANCE’

The trial before Judge Bryan Biedscheid will examine whether Meta's conduct meets the standard for a public nuisance ‌under New Mexico law, which would allow the court to impose remedies aimed at abating the alleged harm.

A public nuisance claim targets ‌activities that unreasonably interfere with the health and safety of a community. Classic examples include blocking a public road, polluting a waterway or emitting noxious fumes.

State governments have invoked public nuisance law in recent decades to pursue a broader range of industries, including litigation tied to tobacco, opioids, climate change, and vaping, said Adam Zimmerman, a professor at USC’s Gould School of Law.

New Mexico's case is among a growing number of lawsuits accusing Meta and other social media companies ‌of intentionally designing products to be addictive to young people.

While many cases have been filed by families over specific injuries to individuals, more than 40 other states and over 1,300 school districts have ⁠filed lawsuits seeking court-ordered changes ⁠and damages under public nuisance law.

New Mexico said it plans to ask the judge to order Meta to make changes including verifying users' ages; redesigning its algorithm to promote quality content for minors; and ending autoplay and infinite scrolling for minors.

"It will be an opportunity for us to explore more deeply the size and scale and effectively the monetary value of the public nuisance harm that was a product of this business's behavior for the last, you know, 10 or 15 years," Torrez told reporters at a press conference on Thursday ahead of the trial.

The company has said in court filings that it cannot have created a public nuisance because it has not interfered with a public right. It also said there is no scientific evidence to support the idea that social media has caused mental health problems, and that many of the state’s requests are "technologically impractical or completely impossible."

In a public nuisance case, the state can also seek money damages to abate the harm. That sum could be substantial when the impact is said to have affected large segments of the population. Torrez’s office has not detailed the amount it will seek.

Meta said in court filings New Mexico plans to ask for $3.7 billion in damages to fund a 15-year mental health plan including new healthcare facilities and hiring providers, a request it said would require it pay for mental health care for all teens in the state regardless of the cause of their needs.



AI Can Outpace Cybersecurity Norms 'in Months', Says Spy Alliance

FILE PHOTO: AI (Artificial Intelligence) letters and robot hand miniature in this illustration taken, June 23, 2023. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: AI (Artificial Intelligence) letters and robot hand miniature in this illustration taken, June 23, 2023. REUTERS/Dado Ruvic/Illustration/File Photo
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AI Can Outpace Cybersecurity Norms 'in Months', Says Spy Alliance

FILE PHOTO: AI (Artificial Intelligence) letters and robot hand miniature in this illustration taken, June 23, 2023. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: AI (Artificial Intelligence) letters and robot hand miniature in this illustration taken, June 23, 2023. REUTERS/Dado Ruvic/Illustration/File Photo

The most advanced artificial intelligence models are improving quickly enough to outsmart prevailing cybersecurity know-how within months, the Five Eyes spy agency alliance has warned.

The risk posed by AI-enhanced hacking is in the spotlight, after US startup Anthropic said in April that its cutting-edge Mythos models had unprecedented abilities to find software vulnerabilities, reported AFP.

The security agencies of Britain, the United States, Australia, Canada and New Zealand urged governments and businesses to act swiftly to prepare themselves as AI evolves.

"The rapid pace of frontier AI development means cyber risk assumptions can become outdated in months, not years," said a joint statement dated Monday.

AI "lowers barriers for malicious actors and increases the speed and complexity of attacks", the Five Eyes advisory said.

"Breaches will occur. Preparedness helps you contain them quickly and prevent escalation into major operational and financial crises."

To improve cyber defenses, organizations should integrate AI tools into their security operations, update old systems and limit access to critical systems among other steps, they said.

Anthropic this month suspended access to Mythos 5 and a restricted version called Fable 5 to comply with a US national security order.

Just days after publicly launching Fable 5, the company said it had received a government directive banning all foreign nationals from accessing the two models.

The intervention is striking for a White House that has otherwise pushed to loosen AI oversight -- even moving to block states from writing their own rules.


Indian Startup Head Appointed as New WhatsApp Boss

The WhatsApp logo is seen in this illustration taken, August 22, 2022. (Reuters)
The WhatsApp logo is seen in this illustration taken, August 22, 2022. (Reuters)
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Indian Startup Head Appointed as New WhatsApp Boss

The WhatsApp logo is seen in this illustration taken, August 22, 2022. (Reuters)
The WhatsApp logo is seen in this illustration taken, August 22, 2022. (Reuters)

Meta has tapped Indian fintech founder Kunal Shah as the new head of WhatsApp, as the US tech giant seeks ways to monetize the messaging app's massive user base.

The announcement, made Monday night, was accompanied by news that Meta would also lead a $900 million funding round in Shah's consumer finance firm CRED.

"Kunal built CRED into one of India's most important technology companies," Meta chief Mark Zuckerberg said in a statement.

"He brings the kind of builder mentality and global perspective that will serve him well in running the world's biggest messaging app."

Shah, a serial entrepreneur and influential figure in India's fintech world, started CRED in 2018 after selling an earlier payments startup to Indian e-commerce giant Snapdeal for roughly $400 million.

He is also one of India's most prolific angel investors, according to data tracker Tracxn, with the local financial press often reporting how Shah agrees to seed funding pitches within minutes of hearing them.

But over the last few years, Shah has focused on building CRED -- which got its start by offering rewards to customers for timely credit card payments.

Since then, the company has aggressively expanded into offering wealth management, insurance and lending services to its 17 million users.

This experience is likely to help WhatsApp as it seeks new revenue streams that go beyond the core advertising business of Meta, which also runs Facebook and Instagram.

While India is WhatsApp's largest market -- with over half a billion users, according to 2021 government figures -- analysts say it has largely missed the chance to build an equally popular payments service.

In May, the messaging app offered businesses in India the ability to use artificial intelligence for services including responding to customers at all hours or booking appointments.

Shah acknowledged the scope for future growth, saying in a statement that the gap between "WhatsApp today and its full potential is massive".

India's startup ecosystem also celebrated Shah's appointment -- the latest example of an Indian-born executive becoming the leader of a Silicon Valley company.

Sajith Pai of Blume Ventures, an early stage Indian start-up backer said Shah was getting an "even bigger canvas to paint his bold brushstrokes in".

"Great news for everyone in the Indian startup ecosystem, and for India!"


Wikipedia Won’t Let AI Edit Articles, Co-founder Says

 The artificial intelligence AI acronym at the 10th edition of the VivaTech technology startups and innovation fair in Paris, France, June 18, 2026. (Reuters)
The artificial intelligence AI acronym at the 10th edition of the VivaTech technology startups and innovation fair in Paris, France, June 18, 2026. (Reuters)
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Wikipedia Won’t Let AI Edit Articles, Co-founder Says

 The artificial intelligence AI acronym at the 10th edition of the VivaTech technology startups and innovation fair in Paris, France, June 18, 2026. (Reuters)
The artificial intelligence AI acronym at the 10th edition of the VivaTech technology startups and innovation fair in Paris, France, June 18, 2026. (Reuters)

Wikipedia does not trust artificial intelligence enough to let it play a direct role in editing articles on its platform, co-founder Jimmy Wales told AFP on Monday.

The problem of AI "hallucinations" -- in which fabricated output is confidently presented -- has been reduced with newer AI models but remains "very, very bad", Wales said on the sidelines of a climate action week event in London.

He added, however, that AI agents could prove useful in alerting Wikipedia's community of millions of editors to certain niche news that would otherwise be missed.

"We would not let it edit directly because you can't really trust it enough," he said.

Artificial intelligence platforms, meanwhile, rely on Wikipedia's content to answer users' questions.

That has contributed to an overall growth in visitors to the site from AI bots, while human traffic has dropped eight percent.

Wales, who sits on the board of trustees at the Wikimedia Foundation, which operates Wikipedia, described the fall in human traffic as "meaningful" but "not a disaster," for the online encyclopedia, which ranks among the 10 most visited websites in the world.

The site, created in 2001, depends on donations from users so its business model does not directly rely on traffic.

Wales encouraged AI companies to "pay their fair share", because "hammering us with millions of requests costs real money," in the cost of running servers.

Wikipedia has already been "very successful" in signing agreements with several tech giants, the founder said.

"We're starting to block the ones who aren't behaving themselves, but we'll see how that goes."