Microsoft Fined Nearly IDR 300 Billion for Collecting Child User Data Without Consent, FTC Sues

Jakarta, CNBC Indonesia – Microsoft reportedly collects child user data. Because of this, the technology giant was fined nearly IDR 300 billion.

The Federal Trade Commission (FTC) is suing Microsoft for collecting child data without parental consent. In fact, the company reportedly keeps that data for years.

TechCrunch reported that Microsoft was facing demands of US$20 million (Rp. 297 billion) from this case, quoted Wednesday (7/6/2023).

Microsoft is said to have violated the Children’s Online Privacy Protection Act (Coppa). The regulation regulates online privacy protection for children under 13 years old, which requires companies to notify parents about the data collected.

In addition, the rules also require companies to delete child data when it is no longer used.

According to the FTC, Microsoft requests children’s personal data. Including name, email address, phone number, and date of birth.

The FTC says Microsoft collects data even before asking people to complete setting up the account. Data is also saved even if the parent leaves the sign-up process.

Furthermore, the FTC will require Microsoft to notify parents and obtain approval for accounts created before May 2021. In addition, it is also required to create a new system for deleting children’s personal information if they have not received permission from their parents.

TechCrunch added, Microsoft did not respond to requests for comment. However, in a blog post, Xbox boss Dave McCarthy confirmed it was complying with the rules to improve the security of its platform.

(npb/npb)