Thursday, February 19, 2009

Facebook Revises Its Revised Terms

Today's Wall Street Journal reports that Facebook is reconsidering its policy with respect to ownership of user information. On February 4th, the company announced plans to alter the terms and conditions of its site, in such a way as to assert ownership rights over content uploaded by users. The company said its decision was based on copyright concerns and the need to protect itself from law suits. That fueled a vigorous debate in the media about the nature of user-generated content. Consumerist.com posted an item online which read, "Facebook's New Terms Of Service: 'We Can Do Anything We Want With Your Content. Forever.'" Further, a coalition of privacy advocates, including Marc Rotenberg of the Electronic Privacy Information Center, prepared to file a complaint with the Federal Trade Commission. Just two weeks after its initial announcement, Facebook has relented and is going back to the drawing board.

The internet gives a loud voice to citizens and we should applaud Facebook for listening to the clamor. In the same way that Facebook backed down over the Beacon affair, it has demonstrated its willingness to engage in debate and to retreat when it loses the argument. Whether its willingness to listen is based on morality or good business sense is irrelevant - the fact that it does listen is what counts.

Social networks are struggling with how to earn revenues. Supplying user-generated content to marketers is an obvious method. As investors in these networks begin to push for returns, we are likely to see even more controversies and debates of this type. As long as privacy watchdogs are out there, we can take comfort that whatever solution is reached will be in the best interests of all. Transparency and dialogue in these times is crucial for all concerned. Along the online frontier, lines are still being drawn.

W.Denton

No comments: