Norway Fines Microsoft Ad Firm $8.6 Million for Selling Grindr Users' Sexual Orientation

Norway's data protection authority has fined Xandr, a Microsoft-owned advertising company, 92 million Norwegian kroner (approximately $8.6 million) for illegally sharing sensitive personal data from users of the dating app Grindr [261141]. The fine is the largest ever issued by the Norwegian Data Protection Authority (Datatilsynet) [261141].

The authority said Xandr had no legal basis to process data from Norwegian users of Grindr, a dating app primarily used by gay, bisexual, and transgender people [261141]. The company passed on information — including users' sexual orientation — to potentially thousands of businesses through real-time auctions for targeted advertising [261141].

"The violations in this case are very serious, which is why we are issuing a high fine," said Line Coll, director of the Norwegian Data Protection Authority. "Thousands of users in Norway have been exposed to illegal sharing of sensitive information" [261141].

Microsoft said user privacy is its top priority. A company spokesperson told Norwegian broadcaster NRK that the case concerns events from before Microsoft acquired Xandr, and that the interpretation of data protection rules has since evolved [261141]. Microsoft said it is reviewing the decision and considering its options [261141].

The fine underscores growing scrutiny of how advertising technology companies handle sensitive personal data, particularly information that could reveal sexual orientation. Under European data protection rules, such information is classified as a special category of personal data requiring explicit consent and heightened protections.