Quantcast
Connect with us

Facebook CEO Mark Zuckerberg backed sharing customer data despite second thoughts: documents

Published

on

Facebook Chief Executive Mark Zuckerberg questioned the business case for giving millions of outside software developers wide access to customer data before endorsing the practice in 2012, according to internal emails published on Wednesday.

The decision made it possible for a quiz app to gather data on about 87 million Facebook users the following year, and later share the information with the now-defunct British political consulting firm Cambridge Analytica, which worked on Donald Trumps’ presidential campaign.

ADVERTISEMENT

Zuckerberg lamented his choice in a Facebook post on Wednesday, saying that cracking down a year earlier could have helped the company avoid a privacy scandal that has tarred its reputation.

The CEO’s 2012 emails, obtained by a British government panel investigating Facebook, provide an unusual window into the internal deliberations over the critical strategic question of how much customer data the social network should share.

Facebook had recently gone public and was counting on third-party apps such as games to help drive growth.

But Zuckerberg questioned whether such apps and the data they sent back to Facebook were producing sufficient increases in usage and revenue.

“In theory, we want information, but are the posts developers are giving us actually valuable?” Zuckerberg wrote in response to a lengthy email from a lieutenant. “They don’t seem to be for targeting (content) and I doubt they drive meaningful increases in engagement either.”

ADVERTISEMENT

A proposed alternative was charging apps for access to Facebook user data, though such a move would have likely limited the number of apps that worked with Facebook, Zuckerberg wrote in one message.

Facebook stayed the course, with Zuckerberg rejecting fees in late 2012.

“The purpose of the platform is to tie the universe of all the social apps together so we can enable a lot more sharing and still remain the central hub,” he said in an email to several top executives. “This finds the right balance between ubiquity, reciprocity and profit.”

ADVERTISEMENT

By 2014, Facebook had moved to restrict the free promotion and wide data access from which outside developers benefited. Though the tools and data remained free, they became less valuable to many app makers.

Facebook did not immediately respond to a request for comment.

ADVERTISEMENT

SHIFTING GEARS
The deliberations in the late 2012 emails focused on profit rather than privacy.

Zuckerberg and senior leaders debated how data-exchange deals with companies like Spotify and Pinterest could generate revenue, believing that Facebook was getting less benefit from the arrangement than its partners.

Zuckerberg loosely proposed the idea of charging apps 10 cents for every user data request, a fee he estimated would cost Spotify and Pinterest about $3 million annually, according to one email.

ADVERTISEMENT

In another thread, he and Sam Lessin, a director of product management, weighed the consequences.

Facebook had “maximized profit” from games integrating with Facebook by charging them a fee, Zuckerberg said.

But charging had led the best games to abandon Facebook’s services, Lessin said, and he was “not proud” of those that remained. Lessin did not respond to a request to comment.

Ultimately, Zuckerberg in the emails stuck with the goal he had set when launching the developer tools years earlier: Get people to share more items on Facebook.

ADVERTISEMENT

In its IPO filing, the company said working with other apps was “key” to increasing usage of Facebook and had improved its ability to personalize news feeds.

If Facebook made it easy for more apps to integrate social features, Zuckerberg wrote months later, “we should be able to unlock more sharing in the world and on Facebook.”

Reporting by Paresh Dave; Editing by Jonathan Weber and Neil Fullick


Report typos and corrections to: [email protected].
READ COMMENTS - JOIN THE DISCUSSION
Continue Reading

Facebook

John Oliver unleashes on news sites that sent out stupid push notifications

Published

on

"Last Week Tonight" host John Oliver doesn't come back until Feb. 16, but he dropped a new web-exclusive video Sunday complaining to news agencies that they should stop sending out stupid push notifications on their apps.

Oliver told his audience that there are two major criteria when considering a push notification: 1. Is there something I should be doing differently?; and 2. Is this something I need to know now?

Things like declarations of war, earthquakes or acts of terrorism are all perfect examples of things news agencies should inform readers about quickly. But when CNN sent out a push notification about a 115,000 Neanderthal child that was only found "half-eaten" by a bird, Oliver was understandably frustrated.

Continue Reading

Facebook

Billionaires are now richer than 60 percent of the world’s population: report

Published

on

The world's billionaires have doubled in the past decade and are richer than 60 percent of the global population, the charity Oxfam said Monday.

It said poor women and girls were at the bottom of the scale, putting in "12.5 billion hours of unpaid care work each and every day," estimated to be worth at least $10.8 trillion a year.

"Our broken economies are lining the pockets of billionaires and big business at the expense of ordinary men and women. No wonder people are starting to question whether billionaires should even exist," Oxfam's India head Amitabh Behar said.

"The gap between rich and poor can't be resolved without deliberate inequality-busting policies," Behar said ahead of the annual World Economic Forum in Davos, where he will represent Oxfam.

Continue Reading
 

Facebook

Alcohol-infused gummy bears infuriating candy giant Haribo

Published

on

Ander Mendez and his friends were hoping they'd struck it rich when they came up with the idea of selling alcohol-infused gummy bears -- until they found themselves in the sights of sweet giant Haribo.

Now, these three Spaniards say they're afraid of being shut down by the German confectionery king, which is famed for its vast array of jelly sweets and was founded 100 years ago in the western city of Bonn.

In a not-so-sweetly worded legal letter, Haribo has accused their startup of infringing its trademarked little bear.

But these graduates from the northern Spanish port city of Bilbao insist they will carry on producing their "drunken gummy bears" -- "because people like them."

Continue Reading
 
 
Help Raw Story Uncover Injustice. Join Raw Story Investigates for $1 and go ad-free.
close-image