Meta, the parent company of Facebook and Instagram, has agreed to pay $25 million to former U.S. President Donald Trump, resolving a lawsuit he filed in 2021 over the suspension of his social media accounts following the January 6 Capitol riots.
The settlement, first reported by The Wall Street Journal, will see approximately $22 million allocated to a fund for Trump’s presidential library, while the remaining amount will cover legal fees and compensate other plaintiffs involved in the lawsuit. Despite the payout, Meta has not admitted to any wrongdoing in the case.
Trump sued Meta and its CEO, Mark Zuckerberg, in 2021, accusing the company of politically motivated censorship after his accounts were suspended in the wake of the Capitol riots. The ban, initially imposed for a minimum of two years, was lifted in July 2024 as the U.S. prepared for the presidential elections.
Trump’s legal battle with Meta was one of several high-profile disputes he engaged in with major technology firms over his social media restrictions. In a related move, Twitter (now X) permanently suspended Trump’s account, only to have it reinstated by new owner Elon Musk in 2022 following a user poll.
Trump and Zuckerberg have had a contentious relationship over the years. Trump previously labeled Facebook as “anti-Trump” in 2017 and, more recently, called the platform an “enemy of the people” in March 2024. However, signs of a thaw appeared following Trump’s November election victory. Zuckerberg reportedly visited Trump’s Mar-a-Lago resort after the election, and Meta later donated $1 million to his inauguration fund. Zuckerberg was also seen among prominent tech executives at Trump’s recent inauguration.
As Meta settles its legal battle with Trump, the company is also navigating significant developments in artificial intelligence (AI). On Wednesday, CEO Mark Zuckerberg defended Meta’s $65 billion investment in AI, following the rise of Chinese AI app DeepSeek, which has disrupted global tech markets.
Despite concerns over competition, Meta’s stock rose after its latest earnings report exceeded expectations. The company posted over $48 billion in revenue for Q4 2024, marking a 21% increase from the previous year.
Zuckerberg reiterated his belief in open-source AI, emphasizing its importance for maintaining U.S. leadership in the field. “There’s going to be an open-source standard globally, and for our own national advantage, it’s important that it’s an American standard,” he stated.
Looking ahead, Meta aims to revive Facebook’s relevance amid competition from TikTok and Instagram. Zuckerberg also reaffirmed his vision that smart glasses will replace traditional eyewear within the next decade. Despite ongoing debates over AI spending, he remains confident that major infrastructure investments will position Meta for long-term success.
With Trump’s lawsuit settled and AI investments ramping up, Meta continues to navigate a dynamic landscape of politics, technology, and digital communication.
