Microsoft to Pay $20 Million Fine for Collecting Personal Data of Children on Xbox Without Parental Consent

The US Federal Trade Commission accused “Microsoft” that the company collected personal data from children under 13 years of age who registered on Microsoft’s game system “Xbox” without parental permission and stored this information from 2015 to 2020.

To open an account, users had to provide their first and last name, email address and date of birth.

The Federal Trade Commission said Microsoft violated the Children’s Online Privacy Protection Act.

The Commission has reached an agreement with “Microsoft” that the company will pay a fine of 20 million dollars.

A Federal Trade Commission official said the penalty should make it clear that children’s avatars, biometrics and health information are subject to the Children’s Online Privacy Protection Act.

The commission’s decision still needs to be approved by a federal court before it can be implemented.

The Commission announced that Microsoft will have to take several measures to strengthen the privacy protection of children using the Xbox system.

According to the Children’s Online Privacy Protection Act, online services and websites aimed at children under 13 years of age must notify parents of the personal information they collect and obtain verifiable parental consent before collecting and using any personal information obtained from children.