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Facebook’s Battle with Privacy and Profit

July 28th, 2010 by

Facebook has gained more than 500 million users over the last 6 years, with an estimated value of £6.6bn but they have had plenty of issues over privacy during that time. Now German Data Officials are taking Facebook to court.

Earlier this year nearly 40,000 users threatened to leave Facebook because of the privacy issues. In response Facebook said they would simplify the privacy settings but it doesn’t seem to have helped concerned users. Users provide a lot of information on Facebook without knowing how that information is used or what kind of information Facebook may be processing and how. Users are starting to wonder whether the benefits out-weigh the costs.

Facebook’s future business model could be challenged by data commissioners in Europe where personal details are protected by law.

In July German Data officials announced that they were going to start legal proceedings against Facebook. The officials have accused Facebook of gathering information belonging to non-members. Switzerland may also be joining Germany in legal action. If found guilty Facebook could face a fine of tens of thousands of Euros.

This entry was posted on Wednesday, July 28th, 2010 at 2:56 pm . RSS GlobeYou can follow any responses to this entry through the RSS feed.

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