A simple version of the Passport system already exists for some on-line Microsoft services, such as Hotmail. It stores users' personal information to avoid the users re-entering their details when visiting different web sites. Microsoft wants to develop Passport and make it a core feature of its services as more of them move on-line.
The complaints have been prompted by the large quantity of personal information stored about individuals within the Passport database. Windows XP ties Microsoft's operating system to Passport for the first time. Users' personal information such as credit card details and contacts lists will be stored on the Microsoft database. This has been criticised as presenting an unreasonable risk to user privacy.
The privacy groups further argue that the prominence of the Passport system in Windows XP limits the services available to a user who does not wish to submit personal information. They see Microsoft’s power to steer users into signing up to Passport services as a deceptive and unfair method of obtaining the personal details of individual users.
A US House Subcommittee is to consider on-line privacy issues later this week. The focus of the meeting will be on the use of "opt-in" and "opt-out" clauses in obtaining permission from consumers to share their personal information with other enterprises. Presently, US-based internet companies generally operate under self-regulatory regimes without interference from government bodies.