Microsoft must pay $20 million for collecting data from minors on Xbox

The US Federal Trade Commission notes that Microsoft collected data from children under 13 who signed up for Xbox between 2015 and 2020.

The technology giant Microsoft will have to pay 20 million dollars to end a lawsuit by the United States consumer protection agency for collecting personal data from minors without parental consent.

The Federal Trade Commission (FTC) reported in a statement on Monday that it accuses Microsoft of having collected between 2015 and 2020 personal data from children under the age of 13 who registered on the Xbox console’s online gaming platform without informing their parents , and to keep them in their power for their own benefit.

To create an account, the console user must provide first and last name, email address, and date of birth.

Microsoft will have to pay

Microsoft “violated the law” of Children’s Online Privacy Protection (COPPA), stressed the FTC.

“The ruling we are proposing makes it easier for parents to protect the privacy of their children’s data on Xbox and limits the information Microsoft can collect and retain about children,” said Samuel Levine, director of the Office of Protection FTC Consumer Report, and quoted in the press release.

“This action should also make it very clear that children’s avatars, biometrics and health information are not exempt” from complying with the Children’s Privacy Act.

The decision must be approved by a federal court before it takes effect.

” Microsoft will need to take several steps to strengthen the privacy protections of children who use its Xbox system ,” the FTC said in its statement.

Under COPPA, online services and websites directed to children under the age of 13 must tell parents about the personal information they collect and obtain their consent.

Microsoft spokesperson consulted said that Xbox “commits to comply with the decision” of the FTC and will develop a new identity and age validation system to offer appropriate experiences for the young segment