A federal jury has ruled that Google must pay $425.7 million in damages for improperly collecting data from smartphones without user consent over nearly a decade. The lawsuit, which spanned more than 10 years, alleged that the company used data from users who had turned off a privacy setting called Web & App Activity, which was supposed to stop data collection from third-party apps. According to reports, the data was then used to sell targeted ads, generating billions of dollars in additional revenue for Google. The case was brought by lawyers, including David Boies, who previously led the U.S. government’s antitrust prosecution of Microsoft in 2001. The plaintiffs argued that the ad sales constituted illegal profiteering, seeking damages of over $30 billion. However, the jury awarded far less, prompting the attorneys to still view the outcome as a significant victory for privacy protection.
During the trial, lawyers for the plaintiffs accused Google of breaching its promises to users that they could control their data. Evidence presented included internal communications and surveys that contradicted Google’s public statements, showing users were misled about their privacy. The case was certified as a class-action lawsuit involving 98 million Google users who had turned off the privacy setting. Judge Richard Seeborg played a key role in certifying the class, allowing a broad group of affected users to pursue the case collectively. The jury’s decision was seen as a landmark moment in the growing regulatory scrutiny of tech companies’ data collection practices, with attorney John Yanchunis hailing it as a victory for consumer rights that could send a message to the tech industry.
Google, in response, has stated that it will appeal the verdict, arguing that the company fulfilled its obligations to users and that the data collection was within legal bounds. The company also claims that users were given clear information about data collection processes, including a ‘Are You Sure?’ screen when opting out. However, the plaintiffs disputed this, pointing to internal communications that suggested otherwise. This case represents a significant development in the ongoing debate about privacy, data ownership, and the responsibilities of technology companies in the digital age. The financial and regulatory implications of the verdict could set a precedent for future cases involving data privacy and corporate accountability.
The decision has sparked renewed discussions about the need for stronger data protection regulations. Privacy advocates argue that the ruling could encourage other companies to be more transparent about their data practices. However, some industry experts warn that such lawsuits could become more frequent, leading to increased legal costs and potential changes in how tech companies operate. The case highlights the growing tension between technological innovation and consumer privacy in an increasingly data-driven world. As the appeal process unfolds, the legal and ethical implications of data collection practices will continue to be a focal point for regulators, lawmakers, and companies alike.