370°

Microsoft Charges 50 Cents for Child Account Verification to Comply with COPPA

MariaHelFutura writes: "One user named pumkinut on the ArsTechnica forums came across an interesting issue when trying to create Xbox accounts for his 3 young boys on their new Xbox One. After registering himself, he came across a surprising policy whereby Microsoft charges 50 cents verification fees per child account (limited additions to 2 per day), when tying to the parent account. "

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spawnfirst.com
HolyDuck3792d ago Show
karamsoul3792d ago

COPPA mandates any minimal amount (even a cent). Microsoft set the amount to 50 cents, though it's all donated, so there's that.

darthv723792d ago

Maria has a serious crush on MS and tries to hide it by finding or creating some really strange topics.

But like the profile says...."every great story needs a super villain"

4Sh0w3791d ago Show
thorstein3791d ago

This is so weird. On the PS4, my kids aren't allowed to share their names due to their ages. The system prevents them from sharing with even the master acct.

No charge required.

JokesOnYou3791d ago Show
Anon19743791d ago

You'll never take me alive, Coppa!

mk40023791d ago

"Run!!! Go!!! Get to the Coppa!!!"

dredgewalker3791d ago

I'm gonna Coppa feel on you baby!

Pogmathoin3791d ago Show
parentoftheyear3791d ago

Had to do this on our nabi also

RiPPn3791d ago

Yea my sons Nabi Jr made me pay this, I thought it was BS, but looks like it could be the industry norm.

SilentNegotiator3791d ago (Edited 3791d ago )

This law has been around since 2000??

I remember creating a child account on PS3/360 (with restrictions, for visitors) and never being charged 50 cents...

+ Show (2) more repliesLast reply 3791d ago
Death3792d ago

"This policy was created to be in compliance with COPPA (Children’s Online Privacy Protection Act), for any online account creations for children younger than 13 years of age. COPPA requires a small amount to be charged to a credit card (any small amount). Microsoft have themselves set this amount to 50 cents per child account. All fees received are donated to the National Center for Missing
and Exploited Children."

Sony became compliant to the same COPPA requirements in 2008 when they settled the lawsuit with the U.S. government for their infringements brought on by Sony BMG. http://www.ftc.gov/news-eve...

The credit card charge is made to show proof that a parent or guardian acknowledged the creation of the account. The $.50 Microsoft collects is then donated to charity. I have no idea if Sony complies the same way or where the money goes if they do.

A list of possible parent verification can be found here. http://www.ftc.gov/news-eve...

FamilyGuy3791d ago (Edited 3791d ago )

There is no charge to create child psn accounts on Sony systems. PSN accounts are all 100% free, the only thing they charge for is PS+ and those are two different things: a PSN ID being the actual user account and PS+ being a subscription.

Death3791d ago (Edited 3791d ago )

What form of verification are they using to comply with COPPA regulations? There doesn't have to be a fee for the account to fall under COPPA guidelines.

hakeem09963791d ago (Edited 3791d ago )

So Sony is breaking the law .how is that something to brag about?
@Death they said that COPPA requires an adult credit card to be charge so there has to be a fee even if it's just 1 cent.

thorstein3791d ago

@above

They are not breaking the law. The system prevents children from sharing personal information like their real name even with the master acct. I tried it.

How isn't that in compliance with the law?

FamilyGuy3791d ago

First of all who says I'm "bragging"? I was simply stating facts.

+ Show (1) more replyLast reply 3791d ago
bornsinner3792d ago

once again bad journalism.. why must fanboys ruin n4g by voting up crap?

ziggurcat3792d ago (Edited 3792d ago )

You know, MS could simply absorb that 50 cent charge rather than pass it along to the consumer, and still make the donation.

@ death:

Don't see how MS eating the fee instead of forcing consumers to pay would somehow make them no longer compliant.

And I don't recall hearing about sony charging a fee to verify a sub account.

Sm00thNinja3792d ago

Or don't? Then fanboys wouldn't have anything to talk about on a slow news day

Death3792d ago

The credit or debit cardcharge is made to confirm a parent or guardian approved the creation of the account. If Microsoft didn't charge anything, they would no longer be in compliance with COPPA regulations. There are other ways they can adhere to regulations, but none are as convenient or quick. They can video conference with the parent, send a delayed email that requires verification, or send a letter to name a few.

Either way, $.50 is going to a good cause and keeps them in compiiance with federal regulations. I'm not sure how this can be viewed negatively.

Out of curiosity, does anyone know how Sony verifies/complies today?

mhunterjr3792d ago (Edited 3792d ago )

Or people could stop complaining about paying incredibly small amounts of money in compliance with a law that is aimed at protecting children.

Or they could just give the child a full account and monitor their child's online activities on their own, instead of placing that burden on the service provider, then complaining about a one-time, minuscule fee; one that goes in full to a good cause.

ziggurcat3791d ago

@ mhunterjr

The amount of the fee is irrelevant. And if it's such a tiny, minuscule fee, why can't a billion dollar corporation just eat the fee, make the donation on behalf of the consumer, and still be in compliance with "the law"?

mhunterjr3791d ago (Edited 3791d ago )

There HAS to be a credit card transaction by the parent on behalf of the child in order for this form of verification to take place. MS could not simply make the donation in the parents place.

And even if MS could donate for the parent, there's no reason to expect that they should, billion dollar corporation or not. This is a standard form of verification and it's typically handled by most social networking services in this manner. It's by far the simplest and the quickest for all parties involved. To pretend that MS is somehow a bad guy for conforming to industry standards is pretty rediculous. There's no reason that the parent shouldn't play an affirmative role in ensuring their child's safety. To imply that the size of the fee has no bearing is also pretty rediculous. A parent shouldn't be averse to paying $0.50 to protect their child. The idea that 'service provider should, give me things for free' is just entitle bullcrap.

slazer1013791d ago (Edited 3791d ago )

Or MS could charge the fee for verification and then credit the card holder back the $0.50. Not that difficult really. It would be a win win for both parties.

ziggurcat3791d ago (Edited 3791d ago )

@ mhunterjr

Can you point to the exact part if the law that states a fee is required to be charged to a parent's CC? Because it's just MS saying they have to without citing the actual law, which is suspect.

Edit: I've never heard of parents being charged money for creating/verifying a child's account on any social network.

JokesOnYou3791d ago (Edited 3791d ago )

ziggucat Really bro its 50 cents, no for real it's 50 cents sure micro could have absorbed it but they didn't but it's 50 cents, no really it's 50 g-damm cents. Nobody is getting suckered here and micro isnt profiting, a charity gets some money= win win. With so many legitimate things in life to B* about It's really comical and at the same time sad how some people can find time to complain about something so inconsequential is beyond me.

It's articles like this and folks like you who re-confirm my belief that the main problem with gaming sites *members now is that so many "gamers" on internet are no longer in it for the fun of gaming but rather enjoy "the war" trying to settle some make believe score that no one will ever "win" because truth is if you believe ps4 is the right choice and that's what you bought you won already and I have my X1 so I've won already.

ziggurcat3791d ago (Edited 3791d ago )

@ jokes:

50 cents or 50 dollars, it doesn't matter. The issue isn't even about whether MS profits from this (it's been very clear that they're not), and this even about gaming, either. Parents shouldn't be charged to verify their child's account... Post a link verifying that it's a governmentally mandated fee, and not just a penny-pinching scheme from MS trying to cover their own costs.

You really need to come to the realization that your beloved company has a disgusting history of nickel, and diming their customers... This is just another example in a very long list.

u got owned3791d ago (Edited 3791d ago )

@ziggurcat

MY IQ just dropped reading your comments. What part of the .50 cents charge Is to verify/confirm a parent or guardian approved the creation of the account. Jeez are you that blind that can't even see the logic here. Come on kid use your brain.

hakeem09963791d ago

So you bugging because they make you pay .50 cent that is going to be donated in the first place .are you for real? Also, you realize that Bill Gates is one of the biggest charity contributors of all time ? SMFH .This is why gamers will never be taken seriously EVER

Volkama3791d ago (Edited 3791d ago )

Wow ziggurcat.... just wow.

A card transaction is necessary to verify an adult is authorising the account creation. You have to be an adult to have a credit card. Get it?

MS could charge more or less, and they could:
-Keep the money
-Refund the money
-Donate the money

Only the first option would qualify as "nickle and diming". And that's not what they're doing.

Most likely donating the money to charity gets them out of a little tax or fee on the CC transactions, or they're just being socially responsible.

As an aside, the parental control features on the One are really well implemented. That's the main reason my One will be front-and-centre in my house, and everything else will be tucked away where only I know they exist.

+ Show (9) more repliesLast reply 3791d ago
sovietsoldier3792d ago

then it woudn't be n4g, but its something i have always hated and wished they would not allow.

givemeshelter3791d ago

Welcome to N4G.COM... The comical joke for gaming internet news

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120°

Microsoft's Absurd Antics Have Me Scared For Dishonored And Arkane Lyon's Future

With Arkane Austin no more and Lyon living for who knows how long, the superb Dishonored is in serious danger; Microsoft cannot be trusted.

Relientk7712h ago

I love the Dishonored series so much and really want Dishonored 3. Microsoft better not screw this up.

JEECE9h ago

I mean, I think the fans will probably kill Arkane Lyon by cooking up reasons to hate whatever they do next without playing it. I've never seen a game so artificially disliked as Deathloop.

thesoftware7309h ago

Lol, why don't we just say, we are worried about all studios owned by MS now. They will keep closing studios until they have none left ...🙄

Skuletor6h ago

Just merge them all into a single studio, have it churn out a single Call of Duty every year and call it a day, lol.

Barlos6h ago

Don't be scared, you'll be fine.

Skuletor5h ago

It's exputer, fine is one word I would not associate with them.

Profchaos5h ago

I think it's becoming clear based on matt bootys comments there's no future for any IP that can't sell above 10 million within the launch window. But is also a small game that gives them prestige

/S it's beyond a joke right now

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290°

More Job Losses At Xbox, “There’s More To Come”: Paul Thurrott

Paul Thurrott in a recent episode commented on the on-going Microsoft fiasco hinting at more job losses and that "there's more to come".

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spieltimes.com
Sonic18812d ago (Edited 2d ago )

There won't be no more acquiring game publishers from Microsoft in the future . Xbox has to pay Microsoft back. It might take two decades to do that.

sagapo2d ago (Edited 2d ago )

I don’t understand what you’re saying. Xbox IS microsoft so there’s no “paying back “.
And MS gross profit in 2023 was over 140 billion dollars so forget your 2 decades.

Unless you mean the money MS invested in Xbox (acquisitions included) and the time it will take for xbox as a brand to gain that money back on it’s own, then yeah, that could take a while.

romulus232d ago

The better term to use might be return on investment, xbox is simply a division of Microsoft one that MS can easily do away with if profit margins are not met. So in that regard he's right, if xbox isn't showing the expected return on investment the higher ups are expecting than it's unlikely Microsoft will acquire any other studios any time soon, especially if they are spending billions buying developers just to shut them down in the end.

MrBaskerville1d 20h ago (Edited 1d 20h ago )

Xbox is a division that they discussed shutting down but doubled down on after Gamepass was pitched.

It needs to make money at some point. Big money.

KwietStorm_BLM1d 19h ago

So you do understand it or..?

rokos1d 18h ago

According to Statista the net income of Microsoft is about $72.4 billion dollars which is a bit lower than last year profit. That is almost as much as Activision's acquisition but I assume that would be a one off since it costs so much plus I see how their focus has been shifted to AI, thus any major future investments will probably be in that area.

Markusb331d 17h ago

i think you are really missing the point

VariantAEC1d 7h ago

@romulus23
That is not why MS buys studios. They might continue to buy because it's about taking that sweet sweet IP out of the corporate husks of their acquisitions.

+ Show (3) more repliesLast reply 1d 7h ago
SonyStyled2d ago

“There won't be no more acquiring game publishers from Microsoft in the future”

No bro, there do be is for Microsoft not acquiring for what is now if not what it be is 😂

2d ago Replies(2)
ChasterMies1d 21h ago

Xbox isn’t a separate company from Microsoft. It’s all Microsoft.

Abear211d 15h ago (Edited 1d 15h ago )

Let’s be real, this is the media spinning all the acquisitions and liquidations of said developers and spinning it to make M$ the villain.

This was bound to happen, a bigger slice of pie and cut costs, when the games come they stand to make more and that’s their agenda—it was the writing on the wall when the sales went through and legally all those who approved the sale and mergers knew this would happen.

Snowflakes need to realize business is ugly and you can cry all you want but this is how capitalism works. And it works.

That said, M$ needs to steer the narrative and grab hold of all this, make their plans known, hype the hell out of all those dead IP’s they plan to revive, and be honest about the timeline. This is likely to involve mobile and IP on other consoles, and most people realize that.

The problem is this company is incapable of being transparent and seems to often want to dissuade and confuse is customer base. The lack of E3 has hurt Microsoft and I don’t think they know how to properly or effectively market their brand anymore.

+ Show (2) more repliesLast reply 1d 7h ago
jwillj2k42d ago

There really needs to be a class action lawsuit here. You buy these companies just to put people out of jobs. And it’s not like something happened to derail their plans this WAS the plan. Microsoft has no business in this space at all.

franwex2d ago (Edited 2d ago )

Microsoft has been doing this for years. They simply want the IPs. Look at Nokia. Look at Skype. This time it simply expanded to games. Gaming is not as important to Microsoft’s executives as it was to the founders too. Bill Gates was willing to sell the og Xbox at a loss. Steve Balmer approved the red ring of death fiasco. This CEO isn’t really a gamer.

-Foxtrot2d ago

Maybe it's time though to put a stop to it and use a big giant like Microsoft as a huge example to the rest of these big companies.

There has to be a line drawn somewhere.

People like the FTC and the like went against Microsoft yet their Actvision deal was still allowed to go through yet look what's happened...it's not even Acitivisions studios aswell, it's Bethesdas.

VariantAEC1d 7h ago

Years?

Try several decades, and in the gaming space 2.3 decades.

Jon615861d 16h ago

You do realize this happens in ALL industries? Or are you just saying this because it is Microsoft? In any case I feel for those that are being let go but the trch industry is suffering right now.

jwillj2k41d 12h ago (Edited 1d 11h ago )

This absolutely does NOT happen all the time. Let me know the last time 1 company with a terrible product track record spent 100 billion onto acquire MULTIPLE successful companies in under a year only to shut them down and stop making their products regardless of how successful they were. Not merge them, completely shut them down.

And you can’t use Microsoft in your example.

Notellin1d 12h ago (Edited 1d 12h ago )

Class action lawsuit? The law is on their side and protects them at all costs. There are no rules to protect the people at the bottom.

jwillj2k41d 12h ago

Not true when it comes to mass layoff do your research.

RNTody2d ago

Ninja Theory, Perfect Dark, Crash Bandicoot, Spyro, Wolfenstein 3, Dishonored, Prey, Doom, Quake... something tells me that bad things are going to happen to these entities under Microsoft.

MrDead2d ago

ID software, the makers of Doom and Wolfenstein that have been with us since 1991 could be gone and MS will keep the IPs.

I hope some of these studios can buy their freedom from MS otherwise this is going to be even more devastating for the industry and gamers.

Yui_Suzumiya1d 23h ago (Edited 1d 23h ago )

That's exactly what I'm worried about. I've been a fan of id since Wolfenstein 3D and I'm honestly afraid.

lodossrage1d 19h ago

Toys for Bob saw the writing on the wall and bought themselves out.

Wouldn't be the first time a company did that under MS either. Bungie and Twisted Pixel did the same. Considering what just happened, I can see some other devs trying to buy themselves out too.

anast2d ago

Good thing the bosses of all those small studios made their money.

glenn19792d ago

they cant do it right now they will get burned

XiNatsuDragnel2d ago

Phil and his team need to be gone

lodossrage1d 19h ago (Edited 1d 19h ago )

Won't make a difference.

The whole structure needs to be overhauled. Anyone that replaces Phil will be no different than him, Mattrick, or anyone else.

Until the company changes how they go about business, nothing will change

glenn19791d 16h ago

I just don't have any idea what they would do , they have done sooo much damage on their xbox brand, they have a show at July or June I think, but will it even matter even they show amazing games, idkn

lodossrage1d 19h ago

True,

But they may as well get it over with. Whether it happens now or later, the burning is going to hit the same.

Reality is the ONE move that can alleviate a lot of this is the one move they can't make. Remove day 1 from gamepass.

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90°

Microsoft Opening Xbox Mobile Game Store in July

The Xbox brand is expanding, as an Xbox mobile game store is opening this coming July where Microsoft will brings its "first-party portfolio."

Jin_Sakai4d ago (Edited 4d ago )

“Bond adds that they will start on the web”

This will go nowhere.

Nice knowing you Xbox. This is what happens when the house never gets cleaned.

MrDead4d ago

The only this MS is expanding is the amount of feculence it sprays on everyone who just want to enjoy gaming and make games.

The best thing MS can do for the gaming industry is leave and never return.

XiNatsuDragnel4d ago

Good luck with this even it might not succeed.

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