"Texas alleged in a complaint filed in Texas District Court, Collins County, that Netflix founder and former CEO Reed Hastings long assured shareholders and the public that the Netflix revenue model was based on subscriptions rather than the use of data for advertising. But behind the scenes, the company built a "behavioral-surveillance program of staggering scale" that collected mountains of user data, it said."
"The program is "designed to illegally collect and profit from Texans' personal data without their consent, and my office will do everything in our power to stop it," Paxton said in a statement. "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.""
"Netflix accomplishes its data goals by "getting Texans and their children glued to the screen then extracting every possible bit of data about them while they are there," the complaint said. The streamer also uses "dark patterns" and subtle features are engineered to manipulate users-especially children-and to defeat parental efforts to control how much their kids watch the"
Texas sued Netflix in Collins County, alleging the company collects and sells users’ personal information despite claims that it does not operate in data collection for advertising. The complaint alleges Netflix’s revenue model was represented as subscription-based, while a large behavioral-surveillance program was built to gather extensive user data. Texas claims the program is designed to illegally collect and profit from Texans’ personal data without consent. The lawsuit also alleges Netflix uses dark patterns and engineered features that manipulate users, especially children, and undermine parental controls over viewing time. Netflix had not responded immediately to a request for comment.
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