According to the Electronic Privacy Information Center (EPIC) and the Center for Digital Democracy (CDD), Facebook's purchase might be "an unfair and deceptive trade practice" because WhatsApp assures users that it won't collect data for advertising purposes. Facebook, the privacy groups believe, will break that promise.
"Facebook routinely makes use of user information for advertising purposes and has made clear that it intends to incorporate the data of WhatsApp users into the user profiling business model," the complaintsaid. "The proposed acquisition will therefore violate WhatsApp users' understanding of their exposure to online advertising and constitutes an unfair and deceptive trade practice, subject to investigation by the Federal Trade Commission."
Facebook CEO Mark Zuckerberg said last month that nothing will change for WhatsApp users following the acquisition and that the business will continue to operate separately. A Facebook spokesperson reiterated those sentiments in a statement: "Facebook's goal is to bring more connectivity and utility to the world by delivering core Internet services efficiently and affordably -- this partnership will help make that happen."
EPIC said Facebook's track record indicates otherwise. "Facebook regularly incorporates data from companies it has acquired," it said in a statement.
The complaint by EPIC and CDD asks regulators to investigate the deal "specifically with regard to the ability of Facebook to access WhatsApp's store of user mobile phone numbers and metadata." It cites Facebook's billion-dollar acquisition of photo-sharing site Instagram in 2012 as an example of a company's privacy policies that were amended post-acquisition.
"We do not use your mobile phone number or other Personally Identifiable Information to send commercial or marketing messages without your consent or except as part of a specific program or feature for which you will have the ability to opt-in or opt-out," it reads.
Facebook's past has been wrought with privacy problems. In 2011, a lawsuit accused the social network of profiting off users' names, photographs, and identities in ads without their consent. The settlement awarded $20 million to the 600,000 Facebook users affected.
Most recently, privacy groups rallied against the social network after it proposed changes to its Statement of Rights and Responsibilities and Data Use Policy. These updates clarified that by simply using Facebook, users granted the social network permission to use their names, profile pictures, content, and information in conjunction with ads and sponsored content without payment.
Engage with Oracle president Mark Hurd, NFL CIO Michelle McKenna-Doyle, General Motors CIO Randy Mott, Box founder Aaron Levie, UPMC CIO Dan Drawbaugh, GE Power CIO Jim Fowler, and other leaders of the Digital Business movement at the InformationWeek Conference and Elite 100 Awards Ceremony, to be held in conjunction with Interop in Las Vegas, March 31 to April 1, 2014. See the full agenda here.
Kristin Burnham currently serves as InformationWeek.com's Senior Editor, covering social media, social business, IT leadership and IT careers. Prior to joining InformationWeek in July 2013, she served in a number of roles at CIO magazine and CIO.com, most recently as senior ... View Full Bio
Social is a Business ImperativeThe use of social media for a host of business purposes is rising. Indeed, social is quickly moving from cutting edge to business basic. Organizations that have so far ignored social - either because they thought it was a passing fad or just didn’t have the resources to properly evaluate potential use cases and products - must start giving it serious consideration.
Social is a Business ImperativeSocial media is critical in the age of digital business. How can IT help? First, work with the marketing team to set up social networking programs on Facebook, Twitter, and LinkedIn, at minimum. Then work to put social media sentiment analytics in place to measure success.
InformationWeek Must Reads Oct. 21, 2014InformationWeek's new Must Reads is a compendium of our best recent coverage of digital strategy. Learn why you should learn to embrace DevOps, how to avoid roadblocks for digital projects, what the five steps to API management are, and more.