Texas AG sues Netflix, claiming the streaming service collects user data without consent

Texas Attorney General Ken Paxton has filed a lawsuit against Netflix. Paxton argues that the streaming service collected user data, including from children's accounts, despite claims otherwise by the company. The suit claims Netflix earns "billions of dollars every year from secretly selling consumer data" to commercial brokers and online advertising businesses.

"Netflix has built a surveillance program 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 press release announcing the suit.

The Texas lawsuit also claims that Netflix is designed to manipulate viewers. It takes issue with features such as autoplay, which the suit alleges keeps viewers, again including children, on the platform for longer periods of time. The lawsuit seeks autoplay being disabled by default on children's profiles as well as an end to Netflix' alleged collection and distribution of user data.

In an emailed statement, a Netflix spokesperson told Engadget the lawsuit "lacks merit and is based on inaccurate and distorted information." The full statement is below:

"Respectfully to the great state of Texas and Attorney General Paxton, this lawsuit lacks merit and is based on inaccurate and distorted information. Netflix takes our members' privacy seriously and complies with privacy and data‑protection laws everywhere we operate. We look forward to addressing the Texas Attorney General's allegations in court and further explaining our industry-leading, kid‑friendly parental controls and transparent privacy practices."

Update, May 11, 7PM ET: This story was updated after publish to include a comment from Netflix.