Meta says it could face up to $1.4 trillion in penalties after four US states proposed the figure in a lawsuit accusing the company of harming young users through Facebook and Instagram.
The lawsuit, brought by California, Colorado, Kentucky, and New Jersey, alleges Meta violated the Children's Online Privacy Protection Act (COPPA) by collecting personal information from children under 13 without parental consent.
The states also argue the company's platforms were designed to keep younger users engaged while downplaying potential risks to their well-being.
Meta has denied the allegations and called the proposed penalty "outlandish," arguing the states' calculations improperly counted users multiple times and have no legal basis. The company also said the requested penalties are unprecedented and far exceed anything previously seen in consumer protection cases.
The plaintiffs maintain that Meta prioritized profits over children's safety and say their calculations are based on state laws and estimates of affected underage users.
The case is scheduled to go to trial in federal court in Oakland on August 18, although legal experts expect any eventual penalty, if imposed, to be far lower than the proposed $1.4 trillion.