Image@ BBC
Texas Attorney General, Ken Paxton has filed a lawsuit against Netflix, alleging that the streaming service collects data from both children and adults in the state without their consent.
The suit claims that Netflix employs “addictive” design elements to keep users engaged on its platform.
According to the Attorney General’s office, Netflix is accused of “spying” on its users by recording and monetizing billions of data points related to user behavior, contrary to the company’s assertions.
”Every interaction on the platform became a data point revealing information about the user,” the complaint states.
In response to the allegations, Netflix has denied any wrongdoing and plans to contest the lawsuit in court.
A spokesperson for the company remarked, “Respectfully to the great state of Texas and Attorney General Paxton, the lawsuit lacks merit and is based on inaccurate and distorted information.” The spokesperson emphasized that Netflix prioritizes user privacy and adheres to privacy laws in all operational regions.
The complaint, submitted yesterday, highlights that Netflix has positioned itself as distinct from other major tech companies regarding data processing and advertising practices.
It cites former CEO Reed Hastings, who claimed in 2019 and 2020 that Netflix did not collect or monetize user data for advertising purposes.
However, the lawsuit argues that Netflix utilizes a mix of “addictive” features, such as auto-playing content, along with extensive tracking of user activities to maintain viewer engagement. The filing notes that Netflix records billions of technical events, including user clicks and viewing durations.
In 2022, the lawsuit alleges that Netflix began sharing collected data from children and families with commercial data brokers, generating substantial revenue. “In short, Netflix sold subscriptions to its programming as an escape from Big Tech surveillance, pay monthly, avoid tracking,” the complaint asserts.
”Texans trusted that bargain. Netflix broke it, constructing the very data-collection system subscribers paid to escape.”
Paxton’s office claims that Netflix has violated the Texas Deceptive Trade Practices Act, which prohibits “false, deceptive, or misleading acts and practices in the course of trade and commerce.”
The attorney general is seeking court orders for Netflix to delete any data obtained through deceptive means from Texas residents, halt processing data for targeted advertising, and disable auto-play by default for children’s profiles.
The lawsuit comes amid growing concerns over platform features like auto-play and infinite scroll, which experts argue contribute to unhealthy user habits.
Recent legal victories in California against Meta and YouTube regarding their addictive design practices may pave the way for similar lawsuits across the country.
By: Magdalene Agyeiwaa Sarpong