I took my own sweet time to read this story, collecting some of my ideas and publishing them here. I’ve already had a lot of online and offline conversations around the topic, but posting these thoughts here for posterity and discussion makes sense to me.
Opinion | It’s Time to Break Up Facebook
Jefferson and Madison were voracious readers of Adam Smith, who believed that monopolies prevent the competition that spurs innovation and leads to economic growth.
The F.T.C.’s biggest mistake was to allow Facebook to acquire Instagram and WhatsApp. In 2012, the newer platforms were nipping at Facebook’s heels because they had been built for the smartphone, where Facebook was still struggling to gain traction. Mark responded by buying them, and the F.T.C. approved.
Facebook’s version of Snapchat’s stories and disappearing messages proved wildly successful, at Snapchat’s expense. At an all-hands meeting in 2016, Mark told Facebook employees not to let their pride get in the way of giving users what they want. According to Wired magazine, “Zuckerberg’s message became an informal slogan at Facebook: ‘Don’t be too proud to copy.’”
They create immense amounts of data — not just likes and dislikes, but how many seconds they watch a particular video — that Facebook uses to refine its targeted advertising
One big question is, of course, who owns this data? The data would not exist on a platform which doesn’t have the technology to track your time in seconds. The data is also not really relevant to you in a meaningful way. So unless there’s a way to make it meaningful, there is no point in us users claiming ownership of it. Even if we did, in most aspects, the data is owned by Facebook and that is the basis for them not deleting it even after you’ve asked for ‘all’ of your data to be deleted. In that context, ‘all’ is all of the data you’ve given to Facebook, not the data they’ve generated on you.
he went even further than before, calling for more government regulation — not just on speech, but also on privacy and interoperability, the ability of consumers to seamlessly leave one network and transfer their profiles, friend connections, photos and other data to another.
Chris Hughes says in the next line that these proposals were not made in bad faith, but from where I am seeing, these are nothing but bad faith. One can only say these things from a position of privilege, of power. Where were these ideas when twitter launched periscope with Facebook friend-finder integration?
The fact is that what Zuck is proposing here is nothing different from what Microsoft did for Apple all those years ago to head off anti-trust investigations. Why not head off an investigation by propping up a few lame-duck competitors who Facebook can kill off in the name of API changes whenever it feels threatened?
Zuckerberg’s words may seem like music to your ears, but they are nothing more than an empty promise. Already, you can export your Facebook data, and there are services built around importing it and doing stuff with it. So how is his proposal any different?
Will Facebook provide an API to easily move all your data and conversations, and photos off? Will Facebook provide precious server time required to sync out every last bit of data through a legit API? I don’t think so.
Even if they do, the point remains that he’s doing this just to save his own hide. Paying lip service to the open web and interoperability is the easiest thing he can do as CEO.
Besides, Facebook’s value isn’t in the data you provide it with. It’s in the data they generate about you. Today, your uploaded data might be in the couple hundred MBs. But I can assure you, the data they’ve generated about you, and the data you don’t know you’ve uploaded (including stealthy location tracking, cookies, and third party browsing data they’ve bought about you), probably stands in the GBs.
That vast difference is something Facebook will never give you access to, since they can legally claim that it is data they have created and they own. You taking charge of that data is the real threat to Facebook.
Zuck knows this only too well and is trying to ward it off.
Imagine a competitive market in which they could choose among one network that offered higher privacy standards, another that cost a fee to join but had little advertising and another that would allow users to customize and tweak their feeds as they saw fit. No one knows exactly what Facebook’s competitors would offer to differentiate themselves. That’s exactly the point.
Another example of hypocrisy from Chris. We know there are social networks out there today that do all of these things. There are exceptional services built by dedicated people who believe in the ideal of an open web. Just recently an instagram replacement was kickstarted. It took a long while to get it to the bare minimum it needed to fund successfully.
Why? Why did Chris Hughes not put his money where his mouth is? Why not fund all these competitions as an outsider? He’s arguably for the money for it.
App.net was kickstarted by the people, but along the way they took funding from a VC firm. Some people saw that as a betrayal of the idea with which it began, and ADN ended up shuttering under a year later.
Hughes doesn’t need to singularly fund social networks and exert control as a VC or angel investor. He can fund them as an individual and just use his voice to amplify the message – that open web ideas do exist and have the potential to be disruptive.
The thing is, that Silicon Valley is about control. Right now, the definition of control is Facebook. It’s a behemoth that can eat up most of the things in its path, whether it’s WhatsApp and Instagram, which it acquires and turned into its pawns, or Snapchat, which it is trying to destroy by replicating it and using its networking effects against.
Look towards the (inter)networking world – everyone needs networking and so it’s not that sexy a field. But even though there’s a behemoth, Cisco, it can’t eat everything up. Every few years a company springs up that can cause serious competition to it based on new technology, or better production cycles, or just a fresh pair of eyes on the same ideas networking has been revolving around since the last decade.
So Facebook doesn’t need to be broken up in order to be made irrelevant, be it the right approach or not.
The F.T.C. should have blocked these mergers
Its first mandate should be to protect privacy.
It’s interesting to talk about privacy only in terms of Facebook, but it is infinitely more important to talk about privacy in a broader sense.
The US needs an agency that actively works with companies and individuals to thwart attacks on our data, to help secure information, and to educate the people about these topics. Right now, there’s a haphazard group of organizations doing this, led perhaps by the FBI, which steps into the case when hospitals and other organizations are attacked.
There needs to be an organization that ‘polices’ the use of data. Of course, there’s no reason to stifle new growth, but this org would work with, and actively target companies that are becoming big, and perhaps even white hat attack them to show weaknesses.
This latter role has been left to private entities till now, and that has worked out fine for most people. But formalizing it means making sure that the US has a pulse on cyber warfare in the civilian realm, which is where it is more active and deadly currently.
Imagine a CDC for cyber warfare and privacy issues.
But there is no constitutional right to harass others or live-stream violence
Mark Zuckerberg cannot fix Facebook, but our government can.
Can they, though? Can either Zuck or any government in the world ‘fix’ Facebook? As an industry, social media can be regulated. As a company, Facebook can be fined and controlled. But as an idea, as a part of the Internet, and as a trend, Facebook is more difficult to control. What needs to happen is that along with the threat of government sanctions, Facebook also needs internal pressure to restructure. That pressure will never come until golden boy is removed from the helm. It was only till Biz Stone and Jack were shown to be totally inept at handling twitter, that people understood that twitter needs some serious work. It’s a great feeling to follow an enigmatic or often just an esoteric leader and believe that they’re doing the right thing. But Facebook’s investors, specially those who care about the effects of the company on the world, should break through that spell and focus on forcing the company to rebuild.
Zuckerberg himself should realize that it is under his own helm that bad things have happened, and we’ve long given him a huge platform to grow and become a leader. But just like Rahul Gandhi, growing on the job is not possible for someone who controls the fate of a billion people. That just doesn’t work. He would be better off stepping away from the plate and letting someone else play while he rebuilds himself and finds out what he believes in beyond just the dominance of Facebook.