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Why are TVs spying on you?

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AUSTIN, TEXAS – January 15, 2019

The average price for a smart TV is less than $500, but such a low price is accompanied by a clause that most people do not realize: Some manufacturers collect users data and then sell it to third parties. According to Business Insider, information may include the types of shows and advertisements you watch, and your approximate location. 

“This is a merciless industry. The strategy is that companies do not need to make money on TVs. They need to cover their expenses and then collect data, ” notes one of the industry workers.

Smart TVs can even be sold at cost, because companies can monetize them through data collection, advertising, and entertainment sales to consumers.

“It's not just about data collection. This is about monetizing TV after purchase. ” However, on some TVs, users may opt out of full ad tracking and location, but these functions depend on the model. According to the marketing for a company that produces these TVs, without this stream of income, consumers will pay more than the initial cost for the device itself.

Why is this happening? It's simple. The fact is that the world is confidently entering an era of economic and political turbulence. You can see it with your own eyes. Yes, you probably see and feel that your life is changing radically and that it’s impossible to live as before. You are not alone in your feeling--it is shared everywhere.

The old economic model based on the expansion of the dollar has come to an end and is collapsing. USA Really has repeatedly written about the causes and mechanisms of these processes. What matters is that everything collapses, including usual business models, marketing, sales, etc. Most of the existing business models were focused on the middle class, on people with typical consumer behavior. Roughly, this behavior can be described as buying just what you want at the same time on credit. Such consumers are the majority of the population. Poor people are overlooked. They are not interesting from a business point of view. And for rich people, there are other business models.

The middle class was created 40 years ago through the stimulation of consumer demand. There are no alternative models. No one understands how to work with consumers who have no money. Therefore, today the key task is to create mechanisms for finding consumers who might be interested in your product. 

In this context, digital technology takes on great importance, allowing to identify specific consumers and organize them into groups and design local economic models including using social networks. Business understands this and is trying to adapt to new realities that are constantly changing. Therefore, all phones, TVs, and computers and other electronics will eavesdrop and spy on you. Nothing personal, just business.

Author: USA Really