Meta Stock Dips as Multistate Privacy Trial Opens
Meta Platforms’ shares slipped about 1.6% as a high‑stakes Oakland trial opened, with 29 states accusing Meta of improperly collecting and using children’s data and four states pushing broader challenges to platform design and safety claims. The trial, expected to run seven weeks and feature testimony from Mark Zuckerberg and Instagram chief Adam Mosseri, could lead to remedies targeting Meta’s engines of engagement—such as age restrictions, removal of infinite scrolling, and changes to algorithms and AI models using kids’ information. Reuters cites a possible $1.4 trillion damages figure as a worst‑case scenario, though investors should treat it as not a forecast; the stock also trades well below GuruFocus’s fair value, highlighting a valuation gap but leaving the outcome uncertain for Meta’s ad-driven business.
