Google Ordered to Pay $425 Million in Landmark Privacy Class Action Verdict

In a significant ruling that underscores the growing judicial scrutiny of tech giants' data privacy practices, a federal jury in San Francisco has ordered Google to pay $425 million in damages for privacy violations affecting millions of users.

The verdict, delivered on September 3, 2025, concluded that Google collected user data from apps even after individuals had disabled tracking in their account settings, specifically through its "Web & App Activity" feature and a sub-setting called "supplemental Web & App Activity," which plaintiffs argued created a misleading perception of control.

The class action, covering approximately 98 million users and 174 million devices, alleged that Google’s practices spanned an eight-year period and involved data collection from popular apps like Uber, Instagram, and Amazon via Google Analytics.

While the jury found Google liable on two of three privacy violation claims, it determined the company had not acted with malice, thus avoiding punitive damages that could have multiplied the penalty.

The awarded amount is notably lower than the $31 billion initially sought by plaintiffs, reflecting the jury’s acknowledgment of the data’s intrinsic value without evidence of traditional economic harm. Google plans to appeal the decision, asserting that its privacy tools function as intended and that the data collected was non-personal and pseudonymous.

This case highlights evolving legal standards around digital privacy, emphasizing that violations of user consent can constitute compensable injury even in the absence of demonstrated financial or reputational damage, and may influence future litigation and regulatory actions against technology firms over data practices.