Texas Dispute Over Samsung TV Data Ends in Agreement

Update 02/27 4:21 PM EST: The Texas Attorney General’s office has reached an agreement with Samsung Electronics America following the dispute over its TV data collection practices. Under the agreement, Samsung said it will strengthen its privacy disclosures related to its Viewing Information Services (VIS), which include its Automated Content Recognition (ACR) technology.

“Samsung shares the Texas Attorney General’s goal of promoting transparent and consumer-friendly privacy practices. We appreciate the opportunity to discuss our Viewing Information Services (VIS) in more detail, and make enhancements to further strengthen our privacy disclosures.
 
While we maintain our original television privacy policy and notices followed existing Texas state regulations, as a trusted brand, Samsung is proud to be at the forefront of protecting consumer privacy and security.
 
The settlement affirms what Samsung has said since this lawsuit was filed – Samsung TVs do not spy on consumers. In fact, Samsung allows you to control your privacy – and change your privacy settings at any time.
 
We hope our updated language will provide additional reassurance to our customers and serve as a new standard for others in the television industry.”

Editor’s Note: The headline was updated to reflect the vacated court order and subsequent agreement between Samsung and the Texas Attorney General’s office.

Update 01/10 11:15 AM EST: After this story went live, Samsung told SammyGuru that a Texas court dropped the temporary restraining order that had blocked Samsung from collecting smart TV viewing data. The judge reversed the decision just one day later, saying the order should be set aside. Samsung Electronics America confirmed the TRO was vacated on Tuesday, January 6.

If you own a Samsung smart TV in Texas, the way your TV collects data may soon change. Texas Attorney General Ken Paxton has won a temporary court order blocking Samsung from using a tracking technology that allegedly monitored what people watched in their homes without clear permission.

Samsung’s TV tracking put on hold by Texas court

The case centers on Automated Content Recognition, or ACR, a system that can capture screenshots from a TV screen every 500 milliseconds. Those images are sent to servers and ad partners to study viewing habits and serve targeted ads. Texas says most users weren’t clearly told this was happening and didn’t give real consent.

A Texas district court has issued a temporary restraining order against Samsung (via SamMobile). The order stops the company, and any partners working with it, from collecting, using, selling, transferring, or sharing ACR data tied to Texas residents. The court said there’s good reason to believe the practice may violate the state’s Deceptive Trade Practices Act.

Samsung isn’t the only TV brand under scrutiny. Texas has also filed similar lawsuits against LG, Sony, Hisense, and TCL, accusing them of using the same technology. A similar restraining order has already been issued against Hisense, and more orders could follow as the cases move forward.

Furthermore, this order is temporary. A hearing on January 9 will decide whether the court should extend the ban while the lawsuit continues. If the court doesn’t extend it, the order will expire on January 19.

Samsung TVs do offer a setting that lets users turn off ACR. But Texas argues the explanation of this feature is unclear and misleading. For now, the ruling only applies in Texas, but it could push smart TV makers to be more open about how they collect and use customer data. What do you think of this? Let us know.