Norway's data protection authority has issued its largest fine to date, hitting Microsoft-owned advertising company Xandr with a NOK 92 million ($9.6 million) penalty for passing sensitive personal data belonging to Norwegian Grindr users through automated advertising auctions without a legal basis. The decision, signed October 2 by Datatilsynet Director General Line Coll and Head of International Tobias Judin, targets one of the most contested privacy questions in digital advertising: whether ad intermediaries can claim ignorance of how consent was collected by the apps they serve.
Grindr is a location-based dating app primarily used by gay, bisexual, trans, and queer people. For nearly two years, from July 2018 to April 2020, Xandr sat at the center of the app's advertising infrastructure, operating on both the buying and selling sides of real-time bidding. The process works fast and invisibly. The moment a user opened Grindr, the app passed their data through Xandr to a pool of companies competing in a split-second auction for the right to show that person an ad. Datatilsynet found that this relay included at minimum each user's advertising ID, IP address, and the fact of their Grindr use. Under GDPR, that last detail matters enormously. The authority concluded that being identifiable as a Grindr user is itself information that indicates sexual orientation, a category that European data law places under strict protection and requires explicit consent to process.
Xandr's defense rested on the argument that it believed Grindr had already collected consent from its users. Datatilsynet rejected that reasoning on a straightforward legal basis: Xandr was not a passive conduit but a joint controller alongside Grindr. Under GDPR's joint controller framework, both parties carry independent obligations to confirm a lawful basis exists before processing sensitive data. Xandr never verified that any such basis was in place, and the authority ruled that the company had no right to treat consent as someone else's responsibility. "Xandr omitted to verify that the consents from Grindr were valid, and did not do anything to ensure they had a legal basis for their own processing," Coll stated in the decision.
The investigation turned up a complicating detail. Xandr had been notified of the probe by Datatilsynet in February 2020. Despite that, the company deleted documentation about its processing of Grindr users' data between July 2020 and February 2023, when the authority sent a second information order. Xandr told investigators the deletion had occurred as part of its routine data retention policies. Datatilsynet refused to let that explanation close the gap, noting that the company knew an active investigation was underway when the records were removed.
In setting the penalty at NOK 92 million, Datatilsynet cited the duration of the violations, the direct financial benefit Xandr drew from the unlawful sharing, and the fact that thousands of Norwegian users had their sensitive data exposed to potentially thousands of companies without their knowledge. Crucially, the fine was calculated against Xandr's own annual turnover and not Microsoft's. The authority noted that the violations took place before Microsoft completed its acquisition of Xandr in June 2022, after AT&T sold the unit it had rebranded from AppNexus in 2019.
A Microsoft spokesperson mentioned that the investigation "focused on conduct that predates Microsoft's acquisition of Xandr," adding that interpretations and applications of legal standards have continued to evolve since then. The company said it is reviewing the decision and assessing its options. Xandr, which now operates as Microsoft Advertising, has three weeks to appeal to Norway's Privacy Appeals Board.
The case has roots in January 2020, when the Norwegian Consumer Council filed complaints against Grindr and five ad tech companies: AppNexus, MoPub, OpenX, AdColony, and Smaato. Austrian privacy rights organization noyb joined the action and celebrated the outcome, calling the decision "a major blow to the online adtech industry." This week's fine against Xandr is the downstream enforcement of a broader probe that, on the Grindr side, produced a NOK 65 million penalty against the app itself in 2021. Norway's Borgarting Court of Appeal upheld that fine against Grindr in October 2025 after the company challenged it through two rounds of litigation.
Grindr's data-sharing history has had consequences beyond Norwegian borders as well. In September 2026, the dating app agreed to pay £26 million to settle a UK class action brought by roughly 12,000 users who alleged the platform had shared information including HIV status, sexual orientation, ethnicity, and location with third-party advertising firms before 2020. The London lawsuit, filed in April 2024 by law firm Austen Hays, alleged violations of UK data protection law during roughly the same period covered by the Norwegian proceedings.
The Datatilsynet decision marks one of the more pointed statements yet from a European privacy regulator on how far down an ad supply chain accountability can reach. By treating Xandr as a joint controller rather than an infrastructure provider, the authority made clear that operating the pipes through which sensitive data flows carries its own legal obligations, regardless of which company collected the data in the first place.