By SEJAL GOVINDARAO
Arizona Attorney General Kris Mayes announced Tuesday that Arizona is the latest state to sue Temu and its parent company PDD Holdings Inc. over allegations that the Chinese online retailer is stealing customersâ data.
Mayes said the app deceives customers about the quality of its low-cost products and collects what she described as a shocking amount of sensitive data without the consent of users, including GPS locations and a list of other apps on usersâ phones.
According to the lawsuit, prosecutors are concerned about Temu being subject to laws in China that require Chinese companies to hand over data requested by the government, and that its code is designed to evade security reviews.
âIt can detect everywhere you go, to a doctorâs office, to a public library, to a political event, to your friendsâ houses,â Mayes said during a news conference. âSo the scope of this invasion of privacy is enormous, and thatâs why I consider it possibly the gravest violation of the Arizona Consumer Fraud Act that we have ever seen in Arizona.â
Arizonaâs top prosecutor also said the state wants to protect businesses from being âripped offâ by the online retailer, alleging the company has copied the intellectual property of brands that include the Arizona Cardinals and Arizona State University.
Attorneys general in Kentucky, Nebraska and Arkansas have filed similar lawsuits in recent years.
Mayes called the allegations against Temu more egregious than those that have been made against TikTok.
Through a forensic review, investigators in Arizona found the appâs code has portions recognized by experts as malware or spyware and allows exfiltration of data from a userâs mobile device while concealing that the app is doing so. The review also found in the app âlarge swathsâ of previously banned code from the platformâs precursor version.
Mayes urged Arizonans to delete their Temu accounts, uninstall the app and scan their devices for malware.