It is hoped the new software will be able to monitor all desktop computers, tablets and smartphones running Windows as well as Xbox consoles and services like Internet Explorer, according to reports.
A spokesman from the company told AdAge: "We agree that going beyond the cookie is important. Our priority will be to find ways to do this that respect the interests of consumers."
Replacing a universal tracking system with one controlled by Microsoft could bring the company a major boost in advertising revenue.
Currently third-party cookies cannot be used on mobile devices, which is taking up a growing proportion of internet traffic in the UK. IMicrosoft hopes a new system would fix this loophole.
A spokesman from the company told AdAge: "We agree that going beyond the cookie is important. Our priority will be to find ways to do this that respect the interests of consumers."
Replacing a universal tracking system with one controlled by Microsoft could bring the company a major boost in advertising revenue.
Currently third-party cookies cannot be used on mobile devices, which is taking up a growing proportion of internet traffic in the UK. IMicrosoft hopes a new system would fix this loophole.