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Is this just a fancy way of saying "we track everything you do"?
No. They don’t track anything. It’s all on-device.
Well, the device tracks everything.
Ok…and? If it doesn’t send it to Apple then they’re not tracking anything. Stop talking nonsense.
Microsoft also claims that "recall" only works on the device.
Yeah, and?
Huh, that must be why they made a big show about the data your device sends to their AI cloud is not stored or shared.