Meta Could Pull Instagram, Facebook From New Mexico Over Age Verification Rules

Meta Platforms (NASDAQ: META), the parent company of Instagram, Facebook, and WhatsApp, has warned it may shut down access to its platforms across New Mexico as the tech giant faces mounting legal pressure over child safety. In a court filing, the company argued that a state demand for 99% accuracy in verifying that users are at least 13 years old is unfeasible, potentially forcing a complete withdrawal from the state’s 2.1 million residents.

The threat comes ahead of the second phase of a high-stakes trial set to begin on Monday, following a March verdict where a New Mexico jury ordered Meta to pay $375 million in civil penalties for violating the state’s Unfair Practices Act. Prosecutors, led by Attorney General Raúl Torrez, are pushing for sweeping reforms, including safer content recommendation algorithms, restrictions on end-to-end encryption for minors, prominent warning labels about platform risks, permanent bans for adults targeting children, and independent oversight through a court-appointed child safety monitor.

Meta has called these measures technically impractical, asserting that building separate apps for New Mexico or guaranteeing the demanded precision is neither economically nor operationally viable. The company also claims it is being unfairly singled out among hundreds of other apps popular with teenagers.

Torrez fired back, accusing Meta of prioritizing profit over protection. “Meta’s refusal to follow the laws that protect our kids tells you everything you need to know about this company and the character of its leaders,” he said. He further argued that the company has repeatedly adapted its products to meet other demands, including those of authoritarian regimes, to preserve market access.

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New Mexico’s case marks the first among over 40 lawsuits filed by state attorneys general to reach trial, with others alleging similar harms to young users’ mental health. The state’s push for reform follows a broader wave of scrutiny, including a $6 million damages award in Los Angeles to a woman who claimed Meta and Google platforms fueled her social media addiction as a child.

Globally, pressure is mounting. The European Union recently charged Meta with breaching tech rules by failing to prevent children under 13 from accessing its platforms, while Australia’s new law banning social media for those under 16 has sparked enforcement disputes with the company.

As the trial’s remedies phase unfolds, Meta has signaled it will appeal the $375 million fine. The outcome could set a precedent for how far states can go in forcing tech giants to overhaul their operations, with potential financial penalties and operational changes looming if the court sides with New Mexico.


Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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