Microsoft admits reading Hotmail inbox of blogger

Microsoft is caught up in a privacy storm after it admitted it read the Hotmail inbox of a blogger while pursuing a software leak investigation.

On Thursday, the firm acknowledged it read the anonymous blogger's emails in order to identify an employee it suspected of leaking information.

Microsoft owns Hotmail, a free email service now called Outlook.com.

John Frank, deputy general counsel for Microsoft, said it took "extraordinary actions in this case ".

While the search was technically legal, he added Microsoft would consult outside counsel in the future.

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