Pretty much every major game from every publisher – and MSFS is no exception – sends anonymous telemetry data back to the development team. This is used to improve the product by showing how and how often it is is being used, and it also sends crash logs to the devs so they can better diagnose and fix bugs and issues.
If you haven’t seen it yet, we recently made a new beta build available to Xbox players. This build contains no code changes and is otherwise identical to the current live build except for the fact that it has enhanced data logging and telemetry capabilities. If you are an Xbox player and would like to opt into this build to help the devs better diagnose and resolve crashes, please see the thread linked below for instructions: