Meta to pay Texas $1.4 billion over facial recognition lawsuit

FILE - In this photo illustration, the Meta logo is displayed on the screen of an iPhone in front of a Facebook logo. (Chesnot/Getty Images)

Facebook parent company Meta has agreed to pay the State of Texas $1.4 billion as part of a deal to settle a lawsuit over the company's use of biometric data.

The lawsuit, which was filed by Texas Attorney Ken Paxton in 2022, accused Meta of illegally using facial recognition software without Texans' consent.

The 2011 "tag suggestions" feature was specifically called out in the suit. Facebook would run photos uploaded to the site through its facial recognition software and suggested people to tag in photos.

Texas claimed that collection violated the state's Capture or Use of Biometric Identifier Act and the Deceptive Trade Practices Act.

As part of the settlement, Meta will pay the State of Texas $1.4 billion over the next five years.

"This historic settlement demonstrates our commitment to standing up to the world’s biggest technology companies and holding them accountable for breaking the law and violating Texans’ privacy rights. Any abuse of Texans’ sensitive data will be met with the full force of the law," said Paxton.

The settlement is the largest ever for an action brought by a single state, according to Paxton's office.