Thursday, November 19, 2015 by: Daniel Barker
Tags: Vizio Smart TV, electronic surveillance, third party advertisers
Vizio's actions appear to go beyond what others are doing in the emerging interactive television industry. Vizio rivals Samsung and LG Electronics only track users' viewing habits if customers choose to turn the feature on. And unlike Vizio, they don't appear to provide the information in a form that allows advertisers to reach users on other devices.
Vizio's technology works by analyzing snippets of the shows you're watching, whether on traditional television or streaming Internet services such as Netflix. Vizio determines the date, time, channel of programs — as well as whether you watched them live or recorded. The viewing patterns are then connected your IP address - the Internet address that can be used to identify every device in a home, from your TV to a phone.
Cable TV companies and video rental companies are prohibited by law from selling information about the viewing habits of their customers. However, Vizio says that those laws - the Video Privacy Protection Act and cable subscriber protections - don't apply to its business.
The new lawsuit alleges that the data Vizio collects and shares on its customers' television viewing habits is insufficiently protected, allowing marketers to identify the customers by name. According to the complaint, this violates the Video Privacy Protection Act, a law dating to the 1980s that restricted video-rental companies from sharing information on what its customers were watching. The law has been applied in a number of cases in the digital era. The suit also alleges that consumers were misled about how their data would be used, in violation of several California statutes.
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