Microsoft has new AI privacy rules for schools

image via The Verge

September 9, 2026, 5:07 PM

• •Microsoft reached an agreement with the AFT and New York City's UFT on 10 AI principles for schools.
• •The terms bar training AI models on student or educator data and restrict Microsoft’s data collection.
• •The agreement also bans AI companions and requires human review for high-risk decisions.
• •New York City and Los Angeles recently imposed one-year bans on many student-facing AI tools.
• •Districts can add the terms to Microsoft agreements beginning in November without renegotiating entire contracts.

Microsoft has agreed to a set of contractually enforceable AI safety and privacy principles for schools in a deal with the American Federation of Teachers and the United Federation of Teachers. The terms include promises not to train AI models on student or educator data, to limit data collection, to explain tools to families in plain language, to ban AI companions, and to require human review for high-risk decisions. The agreement follows one-year student-facing AI bans announced by school systems in New York City and Los Angeles. School districts will be able to add the terms to new or existing Microsoft contracts starting in November.

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