Tech giant Microsoft has agreed to pay a multi-million dollar settlement to the U.S. Federal Trade Commission (FTC) for illegally collecting children’s personal information without parental consent.
The $20 million settlement came after the FTC charged Microsoft for violating the Children’s Online Privacy Protection Act (COPPA). According to COPPA rules, websites and online services open to children below the age of 13 must notify parents regarding the personal information collected. The service should also obtain verifiable consent from parents before collecting and using such information, according to a June 5 FTC press release.