Additional Coverage:
- Texas accuses Netflix of ‘spying’ on children and designing ‘addictive’ features in new suit (nbcnews.com)
Texas Attorney General Ken Paxton has filed a broad lawsuit against Netflix, accusing the streaming giant of unauthorized data collection and “spying” on users in Texas, including children. The legal action, submitted Monday in Collin County state court, alleges that Netflix has misled consumers by promoting itself as an ad-free, kid-friendly platform while secretly harvesting extensive user data without consent.
In his statement, Paxton asserted, “Netflix is not the ad-free and kid-friendly platform it claims to be. Instead, it has misled consumers while exploiting their private data to make billions.” The lawsuit details Netflix’s alleged creation of a “surveillance machinery” that tracks users’ viewing habits, device information, household networks, and other sensitive behavioral data across both adult and children’s profiles.
The suit further claims that Netflix designed its platform to be addictive, citing features like autoplay as tools engineered to manipulate user behavior. While autoplay is a common feature among competitors such as Disney+ and HBO Max, Paxton’s filing argues that Netflix’s use of such design elements contributes to prolonged user engagement and data mining for profit.
Netflix responded, calling the lawsuit “without merit” and based on “inaccurate and distorted information.” A company spokesperson emphasized their commitment to privacy and compliance with data protection laws, highlighting their “industry-leading, kid-friendly parental controls and transparent privacy practices.” Netflix plans to address the allegations in court.
This lawsuit arrives amid heightened scrutiny of major tech platforms over privacy and data use. Recently, Meta and Google’s YouTube were found negligent by a Los Angeles jury regarding the design of their social media platforms, verdicts those companies intend to appeal. Additionally, Paxton has initiated an investigation into alleged payola schemes involving music streaming services like Spotify and Apple Music.
Paxton’s legal action cites violations of the Texas Deceptive Trade Practices Act (DTPA), seeking a jury trial, a permanent injunction to halt the data collection, and civil penalties up to $10,000 per violation. The Texas Attorney General is also a Republican candidate for the U.S. Senate, challenging incumbent Senator John Cornyn in the upcoming primary.