Texas accuses Netflix of spying on users, including children

Texas has filed a lawsuit against Netflix, alleging the streaming service spies on users, including children, by collecting their data without consent and using addictive design features to keep them engaged [1]. The complaint, filed by Texas Attorney General Ken Paxton, accuses Netflix of recording and monetizing billions of pieces of user behavior data despite public statements to the contrary [1]. "When you watch Netflix, Netflix watches you," the lawsuit states [1]. It quotes former CEO Reed Hastings from 2019 and 2020, saying the company did not and would not collect or monetize user data for ads [1]. However, the filing alleges Netflix used auto-play features and extensive logging of clicks and viewing times to keep users on the platform [1]. In 2022, the company allegedly began sharing this data with commercial data brokers to help generate billions in revenue [1]. Netflix has rejected the claims, calling the lawsuit meritless and based on inaccurate information, and says it will challenge it in court [1]. The state is suing under the Texas Deceptive Trade Practices Act and seeks a court order for Netflix to delete deceptively collected data, cease processing data for targeted ads, and turn auto-play off by default for children's profiles [1]. This action follows a recent successful lawsuit in California against Meta and YouTube over addictive platform designs, which could lead to similar complaints against other tech firms [1].