Despite privacy concerns and complaints about sexual predators (about which Facebook has decided not to do anything and is now being investigated), the Facebook buzz machine is going strong, valuating the company at $10 billion.
The first report comes from Lisa Barone, who points out that your private data on Facebook isn’t so private after all. In fact, even after she took all the security precautions (i.e. used limited profile) and opted out of search indexing, random bits of her information were still made available to the public.
This is further exacerbated by the New York Attorney General’s announcement that his office will be investigating into Facebook over the safety measures on the site. His office argues that there are ‘several significant defects’ in the company’s safety controls, to which Facebook is not responding adequately.
My office is concerned that Facebook’s promise of a safe website is not consistent with its performance in policing its site and responding to complaints,” Cuomo said. “Parents have a right to know what their children will encounter on a website that is aggressively marketed as safe.
While the thought of our private information being made available to sexual predators should make all of us shudder and think twice before signing up for Facebook and what information we put on the site, Microsoft seems to be more hopeful. In spite of the concerns, there are reports that there are discussions underway for Microsoft to buy a minority stake (5%) in Facebook in the range of $300 million to $500 million. These talks, if successful could bring Facebook’s valuation up to $10 billion.