Texas Attorney General Ken Paxton sued Netflix, alleging the company secretly collected and sold detailed user viewing data, including information from children. The lawsuit, announced recently, claims Netflix operated a "surveillance program" that monetized every user interaction. This includes clicks, pauses, and binge sessions, turning them into data for advertisers and data brokers.
Netflix denies the accusations. Company spokesperson Jamil Walker called the lawsuit "inaccurate" and stated it lacks merit. Netflix maintains it complies with privacy laws in all operating regions.
The complaint describes Netflix as primarily a data company, not just a streaming service. Paxton's office characterized it as "A logging company that records and monetizes billions of behavioral events—and occasionally streams movies." The lawsuit references a 2024 ruling from the Dutch Data Protection Authority, which found Netflix did not fully disclose the extent of its data collection.
The Texas AG seeks to halt the alleged unlawful data collection and disclosure. He also demands Netflix disable autoplay by default on children's profiles. The suit requests other injunctive relief and civil penalties.
If successful, the lawsuit could alter Netflix's data collection practices, targeted advertising methods, and autoplay settings. It could also lead to clearer consent and privacy controls for users. Subscribers on ad-supported plans might see changes in how personalized ads function, especially in areas with stricter regulations.
Users can take steps to manage their privacy on Netflix. The service allows viewing and removal of watch history entries per profile. This can limit the behavioral data used for recommendations. Users can also disable non-essential marketing emails or in-app promotions that rely on profiling. Netflix offers parental controls and the option to turn off autoplay previews. Reviewing all profiles, deleting old ones, and adjusting privacy and playback settings can help protect user data.