Key facts
- Rhode Island alleges Meta knowingly exposed vulnerable users to fraud and scams for profit.
- The lawsuit cites internal Meta documents suggesting 10% of 2024 revenue came from fraudulent ads.
- Meta's AI ad tools allegedly assisted scammers in creating and optimizing ads.
- The state found Meta failing to police illicit ads, including those for deepfake pornography.
- Scammers impersonated public figures and institutions like Bank of America in ads.
- An internal Meta review concluded it is easier to advertise scams on Meta platforms than Google.
Rhode Island sued Meta Platforms on Thursday, accusing the social media giant of unlawfully profiting from and participating in billions of dollars of scam advertising on its Facebook, Instagram, and WhatsApp platforms. The lawsuit, filed by Attorney General Peter Neronha, is the first of its kind by a US state against Meta for scam-related advertising.
The suit alleges that Meta knowingly exposed vulnerable users to fraud and scams, generating significant profits. It cites internal Meta documents suggesting the company earned approximately 10% of its 2024 revenue from fraudulent marketing and that its AI ad creation tools actively assisted scammers.
Rhode Island also found Meta failing to police other illicit ads, such as those for deepfake pornography, and noted that scammers impersonated public figures and institutions like Bank of America. An internal Meta review reportedly concluded that advertising scams on its platforms is easier than on Google.