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A US federal court has ordered Google to pay $425 million (£316.3m) in damages after finding it violated user privacy by collecting data from millions of people even when they had switched off the tracking option in their Google accounts.
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The class-action lawsuit, filed in July 2020, represented around 98 million users and 174 million devices. Plaintiffs argued that Google accessed and stored personal data despite assurances given under its Web & App Activity settings.
They had initially sought more than $31 billion in compensation.
The jury ruled that Google was liable for two of three privacy violation claims but did not act with malice.
Reacting to the decision, Google said it disagreed with the ruling and would appeal.
“This decision misunderstands how our products work. Our privacy tools give people control over their data, and when they turn off personalisation, we respect that choice,” a spokesperson said.
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Google added that while turning off Web & App Activity limits personalisation, businesses using Google Analytics may still collect usage data, but it does not personally identify individuals.
Meanwhile, Alphabet shares surged over 9% this week after another ruling spared Google from being forced to sell its Chrome browser, though it must stop exclusive contracts and share certain search data with competitors.
The outcome comes after years of legal battles over Google’s dominance in online search and its role as the default engine on Android, Chrome, and devices from partners like Apple.
