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Google hit with $1.4 billion privacy settlement

Google hit with $1.4 billion privacy settlement

Google has agreed to a $1.375 billion privacy settlement with Texas over allegations of illegal data collection.

 

What happened

Google has agreed to pay nearly $1.4 billion to settle a major data privacy lawsuit brought by the state of Texas. The legal action stemmed from allegations that Google unlawfully tracked and harvested the personal data of users through its search engine, apps, and other services without proper consent.

Read also: Can healthcare professionals use online tracking while remaining HIPAA compliant?

 

The backstory 

The lawsuit, originally filed in 2022, accused Google of violating Texan users' privacy by covertly collecting data such as location history, voiceprints, facial geometry, and search behavior. According to Texas Attorney General Ken Paxton, the settlement combines two separate cases against the company and eclipses all previous privacy settlements made by other states with Google.

This is not Paxton’s first legal success against tech firms. In 2023, he secured an identical $1.4 billion settlement from Meta, the parent company of Facebook and Instagram, over similar unauthorized biometric data usage.

Read also: What is personally identifiable information (PII)?

 

What was said

“In Texas, Big Tech is not above the law,said Paxton, as reported by The Nightly.For years, Google secretly tracked people’s movements, private searches, and even their voiceprints and facial geometry through their products and services. I fought back and won.He added,This $US1.375 billion settlement is a major win for Texans’ privacy and tells companies that they will pay for abusing our trust.”

Google, for its part, maintains that it has done nothing wrong. Spokesman Jose Castaneda said the company did not admit to any wrongdoing or liability as part of the settlement.This settles a raft of old claims, many of which have already been resolved elsewhere, concerning product policies we have long since changed,said Castaneda.We are pleased to put them behind us, and we will continue to build robust privacy controls into our services.”

 

Why it matters

The settlement sets a new record and sends a clear message: tech companies, including Google, can’t ignore privacy laws without facing serious consequences. It also demonstrates how government is pushing for more control over how tech companies collect and use people's personal information.

See also: HIPAA Compliant Email: The Definitive Guide (2025 Update)

 

FAQS

Will Texans receive compensation from the settlement?

It’s not yet clear how or if individual users will be compensated. The funds may go toward privacy enforcement, education, or future legal actions.

 

Can other states take similar legal action against Google?

Yes. Several states have already sued or investigated Google for privacy violations. This case may encourage more states to pursue legal action.

 

How does international law affect Google’s operations?

Google must comply with local laws in every country it operates in. For example, Europe’s GDPR imposes strict rules on how companies handle personal data.