Microsoft's Updated 'Code of Conduct' Forbids Offensive Language On Xbox Live, Skype
The service agreement applies to a number of Microsoft services such as Bing, Cortana
The consequences for Xbox Live customers is slightly different. These consequences include the assignment of a new Gamertag if the one a person creates is "inappropriate" and permanent suspension or device ban. Xbox Live users are also prohibited from posting "controversial content" such as "controversial religious content" or anything involving "notorious" people or organizations and sensitive current or historical events.
Nudity, bestiality, pornography, graphic violence, and criminal activity would be considered "inappropriate content" as well. Microsoft is also cracking down on "activity that is harmful to you, the Services, or others" such as hate speech. Once again, Microsoft does not offer a definition of hate speech in their new Code of Conduct.
It is believed that Microsoft's services agreement may be in response to the Fight Online Sex Trafficking Act (FOSTA), which was combined with the Stop Enabling Sex-Trafficking Act (SESTA). These bills make platforms responsible for users' content. FOSTA/SESTA have caused websites like Craigslist to close their "personals" sections. Opponents of the bills argue that the acts censor online speech and make it more difficult to track and arrest sex-traffickers.