Google (GOOGL) Hit With $425 Mln Privacy Lawsuit Verdict

A U.S. federal jury has ordered Google (GOOGL) to pay $425 million in damages for breaching user privacy. The class-action lawsuit represented 98 million users and 174 million devices. Google collected data from mobile devices despite privacy settings, accessing activity on popular apps like Uber and Facebook. Plaintiffs originally sought over $31 billion in damages.

Google was found liable on two privacy claims but not for acting with malice. Plaintiffs’ attorney David Boies welcomed the verdict as a win for user privacy. Google plans to appeal the decision, stating it misunderstood how its products function and emphasizing user control over data through privacy tools.

The ruling adds to Google’s legal challenges, including a recent antitrust case about its Chrome browser. While the company won’t have to sell Chrome, it must end exclusive contracts and share search data with rivals. Another trial awaits Google over its monopoly in advertising technology. Despite the privacy verdict, Alphabet’s shares surged over 9 percent following the favorable antitrust decision.