Microsoft has some of the most deceptive and underhanded UI/UX staff on the planet. Who even thinks up shit like only offering "classic" pricing if you enter the cancellation flow? This is cable company behavior.
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So look, this is just gonna happen. It's legal to film people in public (in the US) and we all know stores, etc. are already using facial recognition.
The real problem here is the (apparent, though almost certainly assured) lack of responsible use of the data. Scanning faces means you also get time, place, and event/activity, and the citizens then have zero control of what the govt does with this, who they share it with (e.g. Palantir), etc. All prior collection of US person data required appropriate approval, limited scope of access, and timely adjudication/disposal. But ICE is (again, apparently) operating outside the law.