"Metaverse Technology Opens Up a Wider World of Privacy Concerns"

The expansion of digital experiences available through immersive headsets and related technologies raises concerns about the information collected on people wearing the devices and how to protect their privacy. According to a June report by the management consulting firm McKinsey & Co., the metaverse can generate up to $5 trillion in economic impact by 2030, bringing innovation to sectors ranging from education to e-commerce. Adopters of extended reality (XR) technologies face the challenge of balancing the promise of its many applications with the potential privacy vulnerabilities of its many data points. Devices like Meta Platforms Inc.'s Quest and Microsoft Corp.'s HoloLens can record information on a user's movements, appearance, and surroundings. Apps installed on the devices could also collect information from games, fitness programs, and other digital activities. However, users may be unaware of how much information is being collected. There is a lack of clarity regarding what data the devices collect and what types of data the apps gather, according to Jeremy Nelson, director of the University of Michigan's XR Initiative, which is looking into ways to incorporate XR devices into classrooms. Hand-tracking XR devices, for example, could estimate a user's hand size and track their hand movements. According to privacy advocates, information about a person's physical characteristics and movements is sensitive data that should be subject to stricter safeguards. Device manufacturers should educate the general public as well as policymakers about the technology's operation and future, and questions on how data protection laws might apply should be raised. This article continues to discuss the growing popularity of Metaverse technology, and the privacy concerns and issues associated with this technology.

Bloomberg Law reports "Metaverse Technology Opens Up a Wider World of Privacy Concerns"