Many software companies collect our personal data with our permission. However, when it comes to children, permission must be obtained from parents rather than directly from the user. Due to a major mistake by Microsoft, the company will have to pay a $20 million fine. Here are the details regarding the matter…
Microsoft fined $20 million for violating children’s privacy!
The Federal Trade Commission announced on Monday that Microsoft will pay a $20 million fine. The FTC indicated that the privacy of children was violated as the reason. It emphasized that no child’s data can be shared with third parties without obtaining permission from their parents.
Looking at the published report, it was observed that Microsoft collected data from children registered on the Xbox gaming system and used it as advertising data. If you are a user over the age of 13, the permissions you have given to the company are sufficient for them to use your data. However, congratulations if you are below the age limit! You are a child, so your parents’ permission is required.
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Due to this reason, the Federal Trade Commission made new recommendations for Consumer Protection regarding Xbox. In relation to this, Samuel Levine, the director of the Bureau of Consumer Protection, stated in his announcement, “The decision we propose makes it easier for parents to protect their children’s privacy on Microsoft Xbox and limits what information Microsoft can collect and store about children.”
Continuing the statement, he also stated, “This action should clearly demonstrate that children’s avatars, biometric data, and health information are not exempt from COPPA.” COPPA actually includes the age restrictions we mentioned above as a rule. The data of all users under the age of 13 cannot be processed without parental consent. However, Microsoft violated this rule in the 5-year period from 2015 to 2020.
Regarding the matter, Microsoft has admitted its mistake and stated that they will implement the decisions from the Federal Trade Commission. So, what do you think? Don’t forget to share your opinions in the comments section…
