When you run setup.exe from a Windows 8.1 or Server 2012 R2 ISO, the installation wizard connects (unless you are offline) to Microsoft’s activation and feature telemetry servers. Here is exactly what the privacy statement says regarding the process:

Microsoft splits these installer behaviors into specific optional tools and mandatory licensing handshakes. System builders and enterprise administrators can review or download official copies directly via the Microsoft Privacy Landing Page to audit compliance rules. 2. Core Installation Features & Data Practices

Microsoft designed the hardware hash to ensure anonymity. It is a one-way cryptographic mathematical value. Microsoft cannot reverse-engineer the hash to determine the exact make, model, or personal specifications of your computer components. Furthermore, the IP address is used primarily for regional compliance and load balancing, rather than tracking individual user behavior. Key Installation Features and Data Collection

Disclaimer: Microsoft no longer updates privacy statements for these products. This post is based on the archived 2015–2018 documentation and practical testing.

: Collects data about the installation process to help Microsoft improve future setup experiences. Activation

: Configure appropriate Group Policy Objects to disable telemetry, control Windows Update behavior, and manage other privacy-sensitive features.

windows 81 and windows server 2012 r2 privacy statement for installation features key

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