BBC: 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.

While the search was technically legal, [Microsoft's deputy general counsel] added Microsoft would consult outside counsel in the future.

So if it’s not just legal, but “technically legal”: what does that mean?

Yes, it means the way companies like Microsoft handle privacy is wrong. Yet another example.