To strengthen children’s online privacy, Microsoft has entered into an agreement with the US Federal Trade Commission (FTC) to investigate suspected violations of the US Children’s Privacy Act Online (COPPA). This order follows allegations that Microsoft failed to notify parents about the collection of personal information from accounts created by children under the age of 13.
Until the end of 2021, Microsoft’s registration process for Xbox accounts included collecting names, email addresses, dates of birth and phone numbers without obtaining parental consent for users under the age of 13, in violation of COPPA rules. The Seattle-based giant was also criticized for keeping that data from 2015 to 2020, even when parental registration remained incomplete.
Microsoft acknowledged the omission, attributing it to a technical error and claiming the problem has since been fixed. A 14-day data retention policy applies. After this period, user information will be deleted if account creation is not completed. Microsoft has assured that enhanced security precautions are now in place to prevent such problems from reoccurring.
A costly technical error
As part of the agreement, Microsoft will pay a $20 million finewill revise its registration and data collection practices for users under the age of 13 and will seek parental consent for all child accounts created before May 2021. The company is also required to notify game publishers every time it shares data from a child’s account and requires them to do so to enforce COPPA protections.
Microsoft is committed to ensuring safer online experiences for children. They announced significant changes, including the introduction of parental consent before data sharing and Suspension of Xbox activity for accounts created before May 2021 until parental consent is obtained
In addition to its digital safety education initiatives, Microsoft released the Privacy Prodigy for Minecraft, which aims to educate children about online privacy and data protection. Updates have also been made available to the Xbox Family Hub, providing parents with comprehensive information on family groups, child account management, and safety measures through the Xbox Family Settings app.
Microsoft’s recent moves underscore the company’s commitment to protecting children’s online privacy, complying with COPPA regulations, and protecting data transparently.
