More and More Smart TVs Are Spying On Your Activity

Modern smart TVs, designed for entertainment, now function as sophisticated data collection tools, quietly spying on your activity.

Automatic Content Recognition, or ACR, technology allows these platforms to analyze on-screen content, constructing detailed profiles of individual users for precise ad targeting. This surveillance, often unnoticed, transforms what was once a private viewing experience into a stream of personalized ads, both on the television itself and across other digital platforms.

Roku, a company that has shifted its focus from hardware to advertising, puts this trend into perspective. In 2024, the company announced $3.5 billion in advertising revenue, a figure that comprises 85% of its total earnings. This growth is fueled by strategic acquisitions of ACR-related companies, with Roku’s technology receiving an Emmy award in 2023 for its advancements in the field.

Roku, boasting 90 million users, now functions as a comprehensive data repository, far surpassing the user base of platforms like Apple TV+. This data extends beyond viewing habits, encompassing personal profiles and consumer preferences. Consequently, Roku’s identity has evolved; it’s no longer simply a hardware manufacturer or advertising platform but a data company with access to millions of detailed user profiles.

This shift towards ad-supported content is not unique to Roku. As television replacement cycles lengthen, manufacturers seek alternative revenue streams. Samsung, LG, and Vizio have all established dedicated advertising divisions, such as Samsung Ads, LG Ad Solutions, and Vizio Ads, respectively. Furthermore, technology giants like Amazon and Google have entered the television market, integrating their extensive user data into their TV platforms to enhance targeted advertising.

The American streaming landscape has gone through a significant shift, with advertising-driven models gaining significant traction. By late 2024, market research from Antenna revealed that 43% of all streaming subscriptions in the US included ads.

Consumers, often unaware, typically agree to data collection practices during the initial setup of their devices. While the option to disable ACR exists within television settings, it also limits your TV features, essentially forcing you to accept the data collection cycle.