>>It's clear MS is collecting tons of information all the time while a Win10 box is running, not just when using the Internet. Could you please offer us proof that you are in a position to know, for a fact, just what MS is and is not doing with those data?
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>I can't give definitive proof, but I do know that Microsoft is very cautious about data collection and privacy laws. Every Microsoft employee has annual training on privacy. Here's a story from my own experience. For my profile on the MVP web site, I have the option of sharing it publically, to MVPs, or to Microsoft only. But, it turns out, that's not really true. If I pick the Microsoft only option, only the MVP program can see it,. Microsoft employees outside the MVP program do not have access to my profile. This rule was put into place due to privacy laws in Europe.

Bill Gates' famous 2002 memo is reproduced at http://windowsitpro.com/security/complete-text-bill-gates-trustworthy-computing-memo . One paragraph:

"Privacy: Users should be in control of how their data is used. Policies for information use should be clear to the user. Users should be in control of when and if they receive information to make best use of their time. It should be easy for users to specify appropriate use of their information including controlling the use of email they send."

In contrast to your MVP privacy anecdote, hundreds of millions of Win10 users are opted in by default to invasive data gathering that benefits only Microsoft, not those users. All of that information is transmitted via the Internet and includes IP address information. To any nation-state security agency it would be trivial to attach that information to a real identity. If it hasn't been done already, it's only a matter of time before some such agency issues a National Security Letter or similar to compel MS to hand it over.

Ironically, MS is doing a good thing by encrypting those data it's gathering during transmission. But the awful downside is that while I can instruct my firewall to log any such transmissions, I can't read them to see what's actually being gathered. Sure, we can push buttons in the Privacy app and turn stuff off, but there's no way to confirm our choices are being respected.

But this can't be news to you, since you haven't disputed that MS controls Win10 machines, not the users.

It's no wonder there's a minor industry in blocking access to the MS info gathering IPs. Some 3rd party software firewalls have attempted this but as I understand it the MS networking stack does not permit blocking of certain MS addresses. If you're serious you have to use a separate firewall device and play whack-a-mole with MS's undocumented web properties. Then, if you decide to leave Windows Update reachable, there's no way to tell what's actually sent there.

The similarities with malware command-and-control systems are striking.