The Washington Post is reporting that Microsoft officials were handing out promotional materials at a recent CPAC (political conservatives) convention to promote the idea of placing targeted political ads on the dashboard of Xbox Live. MS will use collected data from user ID's and other public sources to build a profile of Xbox users. Campaigns can then blast ads to selected demographic categories.
As you might expect, MS is getting hammered for this on the gaming sites.
Here's the link: http://www.washingtonpost.com/blogs/the-switch/wp/2014/03/07/microsoft-is-using-your-data-to-target-political-ads-on-xbox-live/