Texas officials argue these features were intentionally engineered to keep viewers emotionally hooked and continuously consuming content.
According to the complaint, Netflix later began using this enormous pool of behavioral data for advertising-related purposes and commercial partnerships.
The lawsuit claims that in 2022, the company intensified efforts to monetize user activity by allegedly sharing valuable audience information with outside data brokers and advertising systems to help generate billions of dollars in revenue.
Texas authorities say this directly contradicted public statements previously made by Netflix executives.
The filing references comments from former Netflix CEO Reed Hastings, who had repeatedly suggested that Netflix did not operate like traditional “Big Tech” companies that track and monetize users’ personal data.
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