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Microsoft Settles Privacy Violation Charges
posted by justfred on Thursday August 08, @09:16AM
from the passport-to-privacy dept.
privacy Microsoft has agreed to settle charges by the U.S. Federal Trade Commission that its Passport Internet identification service violates users' privacy, Reuters reports.

Passport stores users' passwords and credit card numbers on Microsoft computers to make Web surfing easier. However, privacy groups- led by the Electronic Privacy Information Center- asked the FTC to investigate Passport last summer, saying it would give Microsoft unprecedented control over Internet users' personal information.

Settlement details will be announced during an FTC news conference, scheduled at 11 a.m. today.

**UPDATE**
According to the settlement terms, Microsoft will be prohibited from future misrepresentation of Passport and must create a new security program that will be certified every two years by an independent monitor. Microsoft will not pay any fines as part of this settlement, but could face financially liability in the future if it does not comply with the agreement, the FTC said.

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