TEMU sued for alleged theft of customer data

The US state of Arizona has decided today to sue Chinese online retailer Tema and the company PDD Holdings Inc over allegations that they are using it to steal customer data.

Arizona Attorney General Chris Mays said the app misleads customers about the quality of the cheap products it offers and collects what he calls a shocking amount of sensitive data without users' consent.

Among this data are GPS locations and other data from the app on customers' phones.

According to the lawsuit, Arizona prosecutors are concerned that Temu is under the jurisdiction of China, which requires Chinese companies to hand over all data to the government in Beijing if requested.

Prosecutors also say that Temu's code was created to evade security investigations.

"It can be found anywhere you go, to the doctor, to the public library, to a political event, to your friends in their homes," Mays said at a press conference. "So the extent of the privacy violation is extraordinary, and that's why I consider this to be probably the most serious violation of the Arizona Consumer Fraud Act that I've ever seen in Arizona."

Mays said he wants the US government to protect businesses from "skin copying," claiming that Temu copied intellectual property from brands, including Arizona State University.

Temu denied these allegations today.

Similar lawsuits against the Temu platform have been filed in Kentucky, Nebraska, and Arkansas in recent years.

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