If a user clicked "Express Settings" during installation—a common behavior to speed up the process—the system enabled several features that had significant privacy ramifications:

For more information about data collection, transmission, and usage, see the Microsoft Privacy Policy: https://privacy.microsoft.com .

For Windows Server 2012 R2 and corporate deployments of Windows 8.1, activation often bypasses Microsoft's public servers via volume licensing. Key Management Service (KMS)

: Using KMS or Active Directory-Based Activation eliminates the need for individual computers to connect to Microsoft for activation, reducing both internet bandwidth usage and external data transmission.

: Details on whether the installation was successful and the date it occurred. Privacy-Impacting Installation Features

When users choose to set up Windows using a Microsoft account rather than a local account, additional privacy implications arise. The privacy statement clarifies that signing into Windows with a Microsoft account enables synchronization of settings across devices and automatic sign-in to compatible apps and websites. Users creating a Microsoft account are asked to provide personal information such as geographic region and date of birth.

During the installation process, several components interact with Microsoft servers to ensure a smooth deployment. These include: 1. Dynamic Update

: These keys are pre-installed by default in volume installations, making each system a KMS client. By default, Windows 7 and Windows Server 2008 R2 and later operating systems use KMS for activation. In volume installations, the setup key is installed by default, which makes the system a KMS client. KMS clients activate against a local KMS host rather than directly contacting Microsoft, significantly reducing external internet communication.

For enterprises governed by strict data residency laws, the default privacy statement may be unacceptable. Here is how to exercise control during installation: