Usable Privacy in Virtual Worlds: Design Implications for Data Collection Awareness and Control Interfaces in Virtual Reality

Abstract: Extended reality (XR) devices have become ubiquitous. They are equipped with arrays of sensors, collecting extensive user and environmental data, allowing inferences about sensitive user information users may not realize they are sharing. Current VR privacy notices largely replicate mechanisms from 2D interfaces, failing to leverage the unique affordances of virtual 3D environments. To address this, we conducted brainstorming and sketching sessions with novice game developers and designers, followed by privacy expert evaluations, to explore and refine privacy interfaces tailored for VR. Key challenges include balancing user engagement with privacy awareness, managing complex privacy information with user comprehension, and maintaining compliance and trust. We identify design implications such as thoughtful gamification, explicit and purpose-tied consent mechanisms, and granular, modifiable privacy control options. Our findings provide actionable guidance to researchers and practitioners for developing privacy-aware and user-friendly VR experiences.