Officials have stated that Microsoft would pay $20 million to resolve government claims that it unlawfully obtained personal data from children. who signed up on its Xbox video game console.
The Punch reported that according to the Federal Trade Commission, between 2015 and 2020, Microsoft allegedly acquired and stored personal information from children under the age of 13 who registered for its Xbox gaming system without their parent’s consent.
Users had to enter their first and last names, email addresses, and birth dates in order to open an account.
The FTC charged Microsoft with violating the Children’s Online Privacy Protection Act, or COPPA.
According to the director of the FTC’s Bureau of Consumer Protection, Samuel Levine, “Our proposed order makes it easier for parents to protect their children’s privacy on Xbox and limits what information Microsoft can collect and retain about kids.”
Levine continued, “This action should make it abundantly clear that kids’ avatars, biometric information, and health information are not exempt from COPPA.”
Microsoft will be compelled to take a number of actions, according to the FTC, to strengthen privacy protections for kid users of its Xbox system.
According to the COPPA law, internet services and websites that cater to children under the age of 13 must tell parents about the personal information they collect and acquire verifiable parental approval before doing so.
An AFP request for comment from Microsoft received no immediate response.