I can absolutely see Texas looking at it the other way. “Your website can be accessed by our citizens? On you to comply with our laws.” They then spit out a bunch of criminal charges that make things rather inconvenient for some instance hosts. The US reach into international banking systems is uncomfortably long.

The real problem question is about federation. You can post to an instance from any federated instance. If an account is created in one instance and the user posts to a federated instance are both liable? You have to be able to create accounts AND post to be subject to the law. Can one instance not allow posts but host accounts for participation in other instances to skirt around the law?

That’s just 1 year’s sales. If the TV lasts 5 years it’s raking in 5 times the data. 190M x 5 = 950M/year, and 5 seems conservative.