Alphabet’s Google (NASDAQ:GOOG) may have just walked into one of its messiest legal battles yet. A California jury has ordered the tech giant to pay $314.6 million in damages to Android users after finding it liable for quietly collecting data from idle smartphoneswithout user consent. The class action, filed on behalf of 14 million Californians, argued that Google siphoned information in the background for its own benefit, like powering targeted ads, while consumers unknowingly footed the cellular data bill. The jury agreed.
Google’s response? It’s not backing down. The company said it plans to appeal, arguing the verdict “misunderstands services that are critical to the security, performance, and reliability of Android devices.” It also claimed that users had already agreed to the data transfers through its privacy policies and terms of service. But for Glen Summers, the attorney representing the plaintiffs, the ruling is a major winhe said it forcefully vindicates their case and highlights the weight of Google’s behavior.
And this could just be the beginning. A separate lawsuit covering Android users in the other 49 states is already on the docket for April 2026. That means investors might be looking at a long runway of regulatory heat, potential fines, and reputational damageall centered around how Android handles your data when you’re not even using your phone. For now, the $314 million headline may be just a preview.
This article first appeared on GuruFocus.
