The Texas Attorney General’s office has launched legal action against five leading television manufacturers, alleging widespread unauthorized surveillance of consumers through embedded technology in smart TVs. The lawsuits, filed in state courts on December 15, 2025, target Sony, Samsung, LG, and the China-based firms Hisense and TCL Technology Group Corporation. These companies dominate a significant portion of the U.S. market, with their products found in millions of households.
At the center of the complaints is Automated Content Recognition (ACR) technology, which enables smart TVs to monitor viewing habits in extraordinary detail. The filings describe how ACR software captures screenshots of the television display as frequently as every 500 milliseconds – effectively twice per second. This allows real-time tracking of content from various sources, including cable providers, streaming services, over-the-air broadcasts, DVDs, and even external devices connected via HDMI ports, such as gaming consoles or laptops. The captured data is then transmitted to the manufacturers’ servers, where it is processed and often combined with other identifiers to create detailed consumer profiles.
“Companies, especially those connected to the Chinese Communist Party, have no business illegally recording Americans’ devices inside their own homes,” said Attorney General Paxton. “This conduct is invasive, deceptive, and unlawful. The fundamental right to privacy will be protected in Texas because owning a television does not mean surrendering your personal information to Big Tech or foreign adversaries.”
These profiles are subsequently sold to third parties, primarily for targeted advertising across digital platforms. The process turns private in-home entertainment into a commodity, with viewing patterns linked to inferences about personal attributes like political beliefs, religious affiliations, race, or gender. Such sensitive information falls under protected categories in many privacy laws, raising alarms about potential misuse.
The Attorney General’s office contends that this data collection occurs without meaningful consumer awareness or consent. During initial device setup, users are often guided toward enabling ACR features through streamlined processes, while disabling them requires navigating complex menus with numerous steps. Disclosures about the extent of monitoring are buried in lengthy legal terms that most users do not read or fully comprehend. This setup violates the Texas Deceptive Trade Practices Act by misrepresenting privacy protections and failing to clearly inform buyers about the surveillance capabilities built into their televisions.
Particular scrutiny falls on Hisense and TCL due to their operations in China. China’s National Security Law mandates that companies comply with government requests for data, potentially exposing American consumers’ information to foreign authorities. The complaints express grave concerns that harvested viewing data could be accessed for purposes beyond advertising, including influence operations or espionage targeting public figures, critical infrastructure workers, or ordinary citizens.
This case echoes a precedent from nearly a decade earlier. In February 2017, Vizio, then owned by Walmart, settled with the Federal Trade Commission and New Jersey authorities for $2.2 million. That action addressed similar tracking on 11 million smart TVs, where viewing data from multiple sources was collected starting in 2014 and sold to advertisers after being paired with demographic details like age, income, and education. Vizio had installed the software on older models remotely without adequate notice.
More recently, in August 2022, the Federal Trade Commission issued guidance urging consumers to review and adjust tracking settings on internet-connected devices, including smart TVs, to safeguard privacy amid growing concerns over data practices in connected homes.
The Texas lawsuits seek civil penalties, injunctions to halt the alleged practices for Texas residents, and measures to prevent future violations. Nearly three-quarters of U.S. households now own smart TVs equipped with ACR-like features, making the outcome potentially impactful for consumer privacy nationwide. As smart home devices proliferate, this action underscores ongoing tensions between technological convenience and individual rights in an increasingly connected world.
The manufacturers have largely declined to comment on the pending litigation, maintaining policies against discussing active legal matters. The cases highlight a broader debate over how much data collection is acceptable in everyday appliances and whether current industry practices adequately respect consumer expectations in private spaces.
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