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Facebook finalizing settlement with FTC over privacy issues

updated 07:25 pm EST, Thu November 10, 2011

Social network accused of deceiving users

Facebook is reportedly nearing a resolution in its ongoing discussions with the Federal Trade Commission. The agency has expressed concerns over the social network's evolving privacy settings, though both sides are said to be finalizing the terms of a potential settlement, unnamed sources have told the Wall Street Journal (sub. required).

Following accusations of intentional deception when modifying privacy terms, the company has reportedly agreed to obtain explicit permission from the FTC if it decides to make "material retroactive changes" to the settings, the sources said.

The social network is also said to be facing independent privacy reviews for up to 20 years, in what appears to be an audit process similar to the FTC's agreement with Google. The search giant was criticized for allegedly misrepresenting its use of personal information, while Facebook was blasted for changing its settings to make personal details publicly available by default.

The FTC and Facebook have yet to officially confirm details surrounding a possible settlement.



By Electronista Staff
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