Meta Sued by California County Over Alleged Scam Ads on Social Media
Key takeaways
- Santa Clara County in California filed a lawsuit against Meta on Monday, alleging that the company knowingly profited from ads promoting scams on Facebook and Instagram.
- The lawsuit was filed on behalf of all California residents and seeks restitution, civil damages, and an order permanently prohibiting Meta from engaging in such business practices.
- According to a 2025 Reuters report citing leaked internal documents, Meta has earned nearly $7 billion in annual revenue from such scam ads.
Santa Clara County in California filed a lawsuit against Meta on Monday, alleging that the company knowingly profited from ads promoting scams on Facebook and Instagram. The lawsuit alleges that the practices violate California's false advertising laws, according to a Reuters report.
The lawsuit was filed on behalf of all California residents and seeks restitution, civil damages, and an order permanently prohibiting Meta from engaging in such business practices.
According to a 2025 Reuters report citing leaked internal documents, Meta has earned nearly $7 billion in annual revenue from such scam ads. The complaint alleges that Meta has used a combination of artificial intelligence and specialized targeting techniques to connect vulnerable users to fraudulent ads.