Tag: Mark Zuckerberg

  • Facebook Accused of Behaving Like ‘digital gangsters’

    Facebook Accused of Behaving Like ‘digital gangsters’

    2 min read

    Facebook Accused of Behaving Like ‘digital gangsters’
    UK parliamentary commission has accused Facebook to act as a ”digital gangsters”.

    After 18 months, 73 witnesses, 4,350 questions, and innumerable hours of testimony, British lawmakers presented a finding on Facebook’s year. Direct from hell.

    A report from this UK body has taken direct aim at Facebook CEO Mark Zuckerberg, accusing him of “contempt.”

    A UK parliamentary committee published a report on Monday, 02/18/2019, accusing Facebook of putting profit over privacy, misleading lawmakers, and being a “digital gangster” that considers itself above the law.

    British politicians also said democracy was “at risk” from foreign countries trying to influence UK elections through social media ads.

    The new report by British lawmakers is brutal to Facebook and it’s CEO Mark Zuckerberg. They said that Facebook “intentionally and knowingly” obstructed U.K. data privacy and anti-competition laws. And that’s why it urgently needs to be regulated and investigated.

    Facebook has shown the arrogant and dishonest face.

    Mark Zuckerberg refused to present himself to the committee.

    To cite the report:

    “Facebook seems willing neither to be regulated nor scrutinized…

    Facebook intentionally and knowingly violated both data privacy and anti-competition laws …

    We consider that data transfer for value is Facebook’s business model and that Mark Zuckerberg’s statement that ‘we’ve never sold anyone’s data’ is simply untrue.”

    In the 108-page document, lawmakers called for the making of an independent regulator for social media sites and a mandatory code of conduct that. If someone breaches it, their suggestion is – “large fines.”

    Mark Zuckerberg continually refuses to show the leadership and personal responsibility that should be expected from someone who sits at the top of one of the world’s biggest companies, says the committee.

    Damian Collins, chair of the committee, said on the committee’s website: “Mark Zuckerberg continually fails to show the levels of leadership and personal responsibility that should be expected from someone who sits at the top of one of the world’s biggest companies.”

    This was, however, not the only reason why British politicians accused Facebook of behaving like “digital gangsters” in the online world.

    “Companies like Facebook should not be allowed to behave like ‘digital gangsters’ in the online world, considering themselves to be ahead of and beyond the law,” the report said.

    “We are open to meaningful regulation and support the committee’s recommendation for electoral law reform,” Karim Palant, Facebook UK public policy manager, was quoted as saying by The Guardian.

    But, something has to be noted, the problem is bigger than just one company. Google and YouTube, which are barely mentioned in the report, play almost as important a role in the dissemination of misinformation online. And they are happy to profit from it. As the information commissioner, Elizabeth Denham has warned, we are now being sold political ideas online with the same techniques that are used to sell shoes and holidays.

    Buying the wrong ideas is less obvious than the pain of old-fashioned shoes. The political sale is much more easily made.

    There is a paradox of the amazing effectiveness of Facebook and YouTube when it comes to the distribution of ideas.

    Some people trust what they find there.

    The online channels, seem to offer intimacy to their users. But this fake intimacy is, in reality, a place where people can be more manipulated than ever before. Well, the advertisers know much more about us than they could before we entered it.
    But, Facebook wants you to know that it is turning. Its ads tell you so. Its PR hires tell you so.

    “While we still have more to do, we are not the same company we were a year ago,” Karim Palant, U.K. public policy manager at Facebook, said.

    But the report requests for significant changes to the way the UK regulates its elections and technology, including:

    • Stricter rules that will force tech firms to take down illegal content on their site
    • A code of ethics that defines “harmful content”
    • An independent regulator to oversee enforcement of that code
    • New laws around political advertising online

    The UK Culture Secretary Jeremy Wright will head to the US this week to meet with the heads of major tech firms, including Zuckerberg. Wright wants to talk about dangerous content online.

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  • Facebook seems to be pushing forward with its blockchain plans

    Facebook seems to be pushing forward with its blockchain plans

    2 min read

    Facebook seems to be pushing forward with its blockchain plans

    The head of its cryptocurrency team David Marcus revealed he was leaving his role at Coinbase to focus on the social network’s strategy. Marcus announced Friday that he would step down from his seat on the board of cryptocurrency trading platform Coinbase. 

    Marcus gave a statement to TechCrunch explaining his stepping down “because of the new group I’m setting up at Facebook around blockchain,” pointing that “Getting to know Brian (Armstrong, CEO of Coinbase), who’s become a friend, and the whole Coinbase leadership team and board has been an immense privilege. I’ve been thoroughly impressed by the talent and execution the team has demonstrated during my tenure, and I wish the team all the success it deserves going forward.”

    According to Facebook, this move was made to “avoid the appearance of conflict” between Marcus’ two roles.

    Facebook and blockchain plans

    It’s not absolutely clear what exactly is going on in Facebook’s developing cryptocurrency division. But according to several reports, something is in progress.

    There are speculations about what this might be. Maybe Facebook and blockchain plans are not so unimaginable.

    Facebook could build a cryptocurrency wallet.  

    They could create their own token that could be used for paying things with partnered businesses or through Facebook ads. Blockchain makes transactions free or cheap, so Facebook and its partners could offer users “3% off for buying made with FacebookCoin” or something like that.

    Possible Facebook’s cryptocurrency feature could be well-positioned to run such an idea. They have extensive connections with more than six million advertisers and 65 million businesses that have Facebook Pages. The social network could offer less costs of running the program, the transaction fee savings on to the users, and promote partnership with Facebook Crypto as a way to boost sales for businesses. That could get clients to spend more money on Facebook ads because the discounts would increase conversion rates and discounts like this could bring users into.

    That could swiftly make Facebook a power player in the global payments ecosystem; or acquiring major blockchain startups, perhaps even Coinbase itself.

    Previously, Facebook announced that it won’t be building on the Stellar protocol.

    Facebook seems to be pushing forward with its blockchain plans 2
    Facebook already lets sending money through Messenger for free, but only with a connected debit card or PayPal account. In the future, they could offer cryptocurrency based payments between friends to let a wider range of users through Messenger. If Facebook Crypto wallet could be fund once with a payment, and with a one-time transaction fee, and then they could send and receive the tokens for free. Blockchain could further increase engagement with Messenger for its 1.3 billion users.

    Facebook offered to major banks to integrate financial data into its social platform. That step signaled Facebook’s ambitions to expand its role in finance and e-commerce. But in light of the site’s recent spate of controversies over privacy also raised red flags for many. That incident suggests several potential benefits of applying the technology, as well as some pitfalls. Facebook CEO Mark Zuckerberg said that technology like blockchain could give users more control, including over financial and other personal data. That could be helpful to moderate future consequences against the platform, which recently reported discouraging user growth.

    Why this is so important?

    A top problem of decentralized blockchain apps is how you bring your identity with you. Securely connecting your wallet, blockchain-based goods and biographical info to new apps can be a difficult process. Usually, users have to type in long, complex keys that are heavy and annoying to remember. Users of social apps like Facebook Connect, which uses an OAuth single sign-on which provides instantly join apps without creating a new username and password, or filling out a profile and uploading a photo, want this social network because of its simplicity too.

    Zuckerberg acknowledged that blockchain systems, which run on distributed swarms of servers, are “harder to control.”

    Facebook seems to be pushing forward with its blockchain plans 3
    In theory, the first cryptocurrency launched by Facebook would be usable outside of Facebook’s platform, because blockchain-based identity systems could obstruct Facebook’s efforts to gather user data. Even after many years of scandals about privacy, all data continue to exist on Facebook’s core asset. That suggests that any blockchain product have to be very delicate to simultaneously cater to users and shareholders. But Facebook has a strong record of not being traditionally hacked. It wasn’t a massive user data debacle like LinkedIn, Twitter and similar social networks. An openly centralized identity system to connect with decentralized apps might bring the UX comfort necessary to unlock a new wave of blockchain benefits.

    Anyway, it seems there are several reasons why David Marcus stepped down from Coinbase board.

    And we may guess about Facebook and blockchain plans.

    For instance, FB plans to launch exchange or to launch their own payment platform or, which is more possible, to launch its own crypto wallet.

    The conflict of interest narrative makes each of these assumptions seems real. Speculations about buying Coinbase are less probably because if Facebook wanted to buy Coinbase, Marcus would have stayed there and brought more of ”his people”.

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