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Google Faces $425 Million Penalty for Smartphone Privacy Violations

by Danielle Sherman
September 6, 2025
in Business, International
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Google Faces $425 Million Penalty for Smartphone Privacy Violations
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Google has been ordered to pay over $425 million in damages for improperly collecting data from smartphone users between 2016 and 2024, despite users disabling tracking features in their accounts.

The class action lawsuit, filed in 2020, alleged the company gathered data from 98 million devices that had turned off location tracking. A California jury found Google violated state privacy laws by continuing surveillance through third-party applications even when users explicitly disabled monitoring settings.

“Even though I’ve shut off all the different apparatuses that would keep Google from monitoring me, they’re still doing it because they were doing it through third party apps,” said attorney and political analyst Madeline Summerville.

Google denied improperly accessing devices and plans to appeal the decision. A company spokesperson told Reuters the ruling “misunderstands how its products work” and emphasised that “our privacy tools give people control over their data, and when they turn off personalisation, we honour that choice.”

However, the jury’s findings suggest Google’s data collection methods extended beyond user-controlled settings. The case highlights ongoing tensions between technology companies’ business models, which rely heavily on user data for advertising revenue, and privacy expectations of consumers who believe they have control over their personal information.

The ruling comes shortly after a federal judge sided with Google in the Department of Justice’s monopoly case, demonstrating the complex legal landscape facing major technology companies. Google CEO Sundar Pichai addressed the broader legal challenges whilst meeting with technology leaders at the White House Thursday.

“It’s a long process. I appreciate that your administration had some constructive dialogue and we were able to get it to some sort of resolution,” Pichai told President Donald Trump.

This California case represents part of a pattern of privacy-related legal challenges for Google. Earlier this year, the company settled with Texas for nearly $1.4 billion following similar privacy law violation allegations.

The repeated settlements raise questions about Google’s privacy practices and whether financial penalties effectively deter data collection violations. For a company with annual revenues exceeding $280 billion, even substantial fines may be considered cost of doing business rather than meaningful deterrents.

“They’re going to have to work really hard to revamp their image in order to be able to gain back all the clout in society they had before,” Summerville said.

The timing coincides with Google’s announcement of plans to invest $250 billion in the United States over the next two years, potentially demonstrating efforts to maintain positive relationships with government officials despite ongoing legal challenges.

For smartphone users, the case underscores the complexity of data privacy controls and the difficulty of ensuring personal information remains protected even when privacy settings appear to be properly configured.

Tags: California privacy lawsclass action lawsuitconsumer protectionconsumer rightsdata collection practicesdata protectiondata rightsdata surveillancedigital privacydigital surveillanceGoogle privacy violationslocation trackingprivacy breachesprivacy complianceprivacy controlsprivacy enforcementprivacy lawsprivacy penaltiesprivacy settingssmartphone data collectionsmartphone privacytech company violationstechnology accountabilitytechnology litigationtechnology regulationthird-party appstracking featuresuser consentuser data
Danielle Sherman

Danielle Sherman

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