A Texas court briefly stopped Samsung from collecting viewing data from smart TVs in the state, only to reverse the decision a day later, allowing the company to continue its practices as legal proceedings continue.
State Targets Automated Content Recognition Technology
On January 5, the District Court of Collin County granted a temporary restraining order (TRO) sought by Texas Attorney General Ken Paxton. The order barred Samsung from collecting, using, selling, or sharing audio and visual data from Texas consumers through its Automated Content Recognition (ACR) technology — a software that captures periodic screenshots of what appears on a TV screen to identify viewing habits and enable targeted advertising.
According to the attorney general’s office, Samsung’s ACR system captures screenshots as often as every 500 milliseconds and compares them against large databases to identify viewing habits. All of this is allegedly carried out without users’ clear knowledge or meaningful consent.
The court initially ruled that Samsung’s ACR practices likely violated the Texas Deceptive Trade Practices Act (DTPA). It raised concerns that consumers were enrolled through misleading consent mechanisms, often during initial TV setup, without detailed explanations of the data collection practices that reportedly require navigating more than 200 additional clicks after enrollment.
“The Court finds that there is good cause to believe that SAMSUNG’s process for enrolling consumers in the ACR data collection program is false, deceptive, or misleading because it does not disclose to consumers how much data is being collected about them, how the data is actually being used, and that the Chinese Communist Party (“CCP”) has access to the information,” read the Temporary Restraining Order against Samsung.
Use Of ‘Dark Patterns’ Highlighted
The judge also criticized the limited opt-out options, noting that users could only “limit” the use of their data rather than stop collection entirely. The ruling described this approach as relying on “dark patterns” where the users are nudged toward consent while making it difficult to fully understand or opt out of data collection.
Restraining Order Vacated Within A Day
However, the legal victory for Texas was short-lived. On January 6, the same judge vacated the restraining order, writing that it should be set aside. Samsung later confirmed that the TRO had been lifted and that the company is not currently restricted from collecting viewing data in Texas.
Samsung said the court still plans to hold a hearing on January 9 to consider whether a longer-term injunction should be issued. The company has not admitted wrongdoing and maintains that its data practices comply with applicable laws.
Part Of Wider Lawsuits Against TV Makers
The lawsuit against Samsung is part of a broader push by the Texas Attorney General’s Office, which has also filed lawsuits against Sony, LG, TCL, and Hisense over similar ACR-based data collection practices. Texas has additionally raised national security concerns involving China-based companies, arguing about potential access to US consumer data under China’s national security laws.
Potential Impact On Smart TV Privacy
While vacating the restraining order allows Samsung’s practices to continue for now, the lawsuit remains active. If the court later issues a temporary or permanent injunction, it could have wide-ranging implications for how smart TV makers collect, disclose, and monetize user viewing data across the United States.
Meanwhile, privacy advocates advise consumers to review their smart TV settings carefully. ACR features are often enabled by default during initial setup and may appear under terms such as “Viewing Information,” “Interactivity,” or “Marketing Preferences.”
