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Microsoft addresses Windows Recall backlash, promises to fix security issues and make it opt-in
(www.windowscentral.com)
This is a most excellent place for technology news and articles.
That's true of any malware on your contact's computer or an unsecure server, though. That is not specific or novel to this feature.
(I'm not saying I like this feature, or think it's a good idea. I don't, and it's not)
So what you are saying is, is that it's malware. I agree.