Ambilight is on my Philips Android TV and does pretty much this, though only from the sides.
It's pretty good and quite immersive; but the only issue with it is that the lights flicker on at least one of the inputs of the TV, and so I normally have to leave it turned off. (It is also a totally rubbish TV.)
DreamScreen: https://www.dreamscreentv.com/product/dreamscreen-4k/
LightPack: https://store.lightpack.tv/collections/lightpack-2/products/lightpack-2-uhd-mini-set
...are two hardware solutions. If you want a cheaper way of going about it though, wanting to leverage AndroidTV, then install Kodi or SPMC, along with this plugin , a Hue light strip and an extension or two.
You can set is so that the color of the Hue lightstrips match the dominant color that’s playing on the borders of the playing video. It really makes the movie “pop.” I also set it to automatically dim the lights when I start the feature presentation — and brighten when it’s paused or stopped. It’s pretty cool.
I did it just last week following this http://awesomepi.com/diy-breath-taking-ambilight-for-your-own-tv-raspberry-pi-2-tutorial-part-1/ but didnt install openelec, just installed hyperion on the pi and using the hyperion add-on for kodi to send over wifi to the pi from SPMC on Nvidia Shield. Only cost £30 for the strip on a 60 inch tv and had the pi anyway
This is Light Pack 2 .
It’s not an android feature, you need a special device so you can do that. this is how it can be done! It’s actually pretty cool and gives a totally different experience to what you are watching!