Meta Platforms, Inc.’s (NASDAQ: FB) Facebook has been sued by the attorney general (AG) of Texas for violating the state’s privacy protections, the Wall Street Journal said citing a person with knowledge of the matter.
Facebook has been accused of using facial-recognition technology that captures biometric information of its users from their videos and photos without their consent. It has also been alleged that the social networking platform reveals this data to others and does not destroy it within a reasonable time.
Ken Paxton, the AG of Texas, said, “This is yet another example of Big Tech’s deceitful business practices and it must stop.”
A Meta spokesperson said, “These claims are without merit and we will defend ourselves vigorously.”
The lawsuit has been filed in a state court in Marshall and seeks civil penalties of hundreds of billions of dollars.
The lawsuit said, “Facebook repeatedly captured Texans’ biometric identifiers without consent, not hundreds, or thousands, or millions of times — but billions of times.”
Based on 32 Buys, 11 Holds and 1 Sell, Meta has a Moderate Buy consensus rating. The average FB price target of $332.14 implies 52.6% upside potential from current levels. Shares have lost 36.2% over the past six months.
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