Google Reaches Landmark $1.4 Billion Settlement with Texas Over Privacy Violations Google has agreed to a significant $1.4 billion settlement with the state of Texas to resolve two lawsuits alleging violations of residents' data privacy. The announcement, made on Friday, May 9, 2025, by Texas Attorney General Ken Paxton, marks a substantial development in the ongoing scrutiny of Big Tech's data handling practices. The lawsuits accused Google of unlawfully tracking users' locations and searches, collecting facial recognition information without adequate consent, and misleading users about privacy settings. Allegations at the Core of the Lawsuits The legal actions brought by Texas centered on several key areas of Google's operations: Location Tracking: Allegations included the surreptitious tracking of users' locations even when they believed location services were disabled. This involved data collected through Google Maps and other services. Search History: Concerns were raised about how Google collected and utilized users' search query data. Biometric Data Collection: A significant part of the lawsuits focused on the collection of biometric information. Specific Google products cited include: Google Photos: The app's feature allowing users to search for photos of specific individuals using facial recognition technology. Google Nest Cameras: Devices capable of sending alerts based on facial recognition of visitors. Google Assistant: The virtual assistant's ability to learn and distinguish between up to six users' voices. Incognito Mode: The settlement also addressed allegations related to the privacy offered by the Chrome browser's "incognito" setting, suggesting it did not provide the level of privacy users might expect. "Big Tech is not above the law," stated Attorney General Ken Paxton, emphasizing that tech companies would not be allowed to profit by "selling away our rights and freedoms." Details of the Settlement The $1.4 billion payment from Google to Texas is a notable figure. According to Paxton, this settlement "dwarfed all past settlements by other states with Google for similar data privacy violations." Despite the substantial payment, Google spokesman Jose Castaneda stated that the company did not admit any wrongdoing or liability as part of the agreement. For Google, this settlement allows the company to put these specific Texas cases behind it and potentially avoid further adverse rulings on these matters. A Pattern of Scrutiny and Settlements This settlement is the latest in a series of legal challenges and financial resolutions for Google and other tech giants concerning privacy and antitrust issues. Previous Google Settlements in Texas: Within the last two years, Google had already reached other significant settlements with Texas. This includes a December 2023 agreement where Google paid $700 million and made concessions regarding allegations of stifling competition in its Android app store. Meta's Similar Settlement: Notably, this Google settlement follows a similar $1.4 billion agreement Texas secured from Meta (parent company of Facebook and Instagram) nearly ten months prior. That case also involved claims of unauthorized use of biometric data. Ongoing Antitrust Battles: Google has faced a string of antitrust cases, with findings against its monopoly in its app store, search engine, and advertising technology. The company has also been actively defending itself against a U.S. government effort to break up its business. The $1.4 billion payment underscores a growing trend of state-level enforcement actions holding major technology companies accountable for their data collection and privacy practices. This settlement serves as another strong message to the tech industry regarding the importance of user privacy and transparency.
