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Windows Update keeps tabs on all system software
John Leyden, The Register 2003-02-28

Evidence obtained by German hardware site tecChannel suggests a list of software installed on an XP machine is sent to Microsoft when users run Windows Update.

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Windows Update keeps tabs on all system software 2005-08-19
Anonymous
You may want to check out the EULA for Windows XP it is found in the Windows folder eula.txt look at section 13. The one thing they Indemnify themselves against "FOR LOSS OF PRIVACY".

Right from the moment you accept the EULA and start using Windows XP you have said "I no longer have any privacy"...

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