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Microsoft to pay $20 million fine for illegally collecting information about children

  • June 7, 2023
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Microsoft will pay a $20 million fine to settle allegations that the US Federal Trade Commission (FTC) illegally collected personal information about children without parental consent. As reported

Microsoft to pay  million fine for illegally collecting information about children

Microsoft to pay $20 million fine for illegally collecting information about children

Microsoft will pay a $20 million fine to settle allegations that the US Federal Trade Commission (FTC) illegally collected personal information about children without parental consent.

As reported by Ukrinform, reported Reuters.

The company was accused of violating the Children’s Online Privacy Act by collecting and storing personal information from children who signed up for the Xbox gaming system without parental consent and appropriate notices.

“The order requires Microsoft to take steps to improve privacy protection for children using the Xbox system,” the FTC said.

A Microsoft representative noted that the account creation process will be updated and a data storage error detected in the company’s system will be fixed.

“Our proposed decision makes it easier for parents to protect their children’s Xbox privacy and limits the information Microsoft can collect and store about children,” said Samuel Levin, Director of the FTC’s Bureau of Consumer Protection.

Microsoft is said to have stored children’s data in the process of creating accounts in the game system from 2015 to 2020.

As reported by Ukrinform, the Microsoft company has started providing users with many artificial intelligence updates, including ChatGPT, Bing search engine and cloud services.

Source: Ukrinform

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