Texas Attorney General Ken Paxton has launched a legal offensive against Netflix, leveling accusations of clandestine data collection and manipulative platform design. The lawsuit, filed on Monday, May 11, 2026, contends that the streaming behemoth has systematically spied on users, including children, and profited from their personal information without explicit consent.
The core of the complaint asserts that Netflix has operated a "behavioral-surveillance program" of considerable scope, allegedly collecting viewing habits, preferences, device details, household network information, and other sensitive behavioral data from both adult and children's accounts. This information, according to the AG's office, is then used to construct detailed consumer profiles which are subsequently sold to commercial data brokers and advertising technology companies, generating substantial revenue for the platform. The lawsuit further alleges that Netflix has misrepresented its data collection and sharing practices, having previously assured consumers and shareholders that its business model was subscription-based, not reliant on advertising derived from user data.
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Netflix's alleged tactics extend to designing its platform with features like autoplay, which the lawsuit claims are intentionally addictive, encouraging extended viewing sessions and further data extraction. Paxton's office states these practices violate the Texas Deceptive Trade Practices Act. The complaint seeks civil penalties, disgorgement of profits, and injunctive relief to halt the alleged unlawful data collection.
While Netflix has not yet responded to requests for comment, the lawsuit brings the company into a landscape of ongoing scrutiny faced by many online platforms for their data handling practices. Companies are frequently targeted for allegedly tracking user activity and selling that data for advertising purposes.
The legal action comes as Paxton, a Republican, is engaged in a U.S. Senate campaign, challenging incumbent Republican Senator John Cornyn. The suit, filed in Texas District Court in Collins County, cites former CEO Reed Hastings' past assurances about Netflix's ad-free model and its focus on subscriptions. The complaint suggests a pivot occurred, with Netflix "stockpiling user data" after previously claiming "zero interest" in advertising. Even for children's profiles, where targeted ads are not displayed, the suit claims Netflix still "collects and analyzes a child’s behavioral interactions" using the same surveillance programs applied to adults.
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Should Netflix fail to comply with a potential temporary restraining order seeking to halt the alleged data collection, users in Texas could experience service interruptions. The lawsuit aims to force Netflix to purge data it has allegedly collected unlawfully.
