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Facebook

By Sean Michael Kerner

What is Facebook?

Facebook is a social networking website that was founded in February 2004 by Harvard University students Chris Hughes, Andrew McCollum, Dustin Moskovitz, Eduardo Saverin and Mark Zuckerberg.

The idea behind Facebook was to provide an online book of faces for university students to connect and share information. It was initially a social network for Harvard and expanded in the following years to any university. It eventually became a social network for anyone, anywhere in the world.

The concept of a social network was a nascent one in 2004 and not entirely unique. Other social networks that were active at the time Facebook was created were Friendster, which was launched in 2002, and MySpace, which was launched in 2003. Users post information, status updates and pictures of themselves on social networks. These items are shared with friends, family and communities of interest.

Facebook is more than just a social networking platform; it's also a business. Facebook had its initial public offering on May 18, 2012, on the Nasdaq stock exchange trading under the symbol FB. The company rebranded as Meta on Oct. 28, 2021. As of Dec. 1, 2021, Facebook trades under the symbol MVRS.

Facebook is only one of several technologies that Meta operates. In 2012, Facebook acquired social networking site Instagram for $1 billion. Facebook then acquired WhatsApp for $19 billion in 2014. Facebook later got into virtual reality (VR) hardware with its acquisition of Oculus VR in 2014 for $2 billion. With Meta, the idea is to create and enable the metaverse. This would meld social networking, VR and augmented reality components to create new types of user interactions and experiences.

Key Facebook features

Facebook started out as a community where users shared information about themselves and different topics. Over time, different features expanded the scope of its capabilities:

Uses for Facebook

Billions of people around the world use Facebook daily to create and grow communities, personal interactions and revenue. There are many uses for Facebook that individuals, community groups and businesses can benefit from:

Facebook controversies

Over the course of its existence, Facebook has been the subject of many controversies. Several scandals were severe enough that Facebook founder Mark Zuckerberg testified before the U.S. Congress about the company's practices. Here are some controversies of note.

Winklevoss twins

The origins of Facebook itself are mired in controversy with twins Tyler and Cameron Winklevoss, who claimed Zuckerberg stole the original idea for the site that became Facebook. The Winklevosses sued Zuckerberg, and a settlement was reached in 2008 that included a mix of cash and shares estimated at the time to be worth $65 million.

Beacon advertising system

One of the earliest controversies involving user privacy occurred in 2007 with Facebook's first attempt to monetize its site with an advertising system originally known as Beacon. The Beacon system shared user activity with advertisers without user permission or the ability to opt out. In December 2007, Facebook withdrew the feature, and Zuckerberg published a public apology, pledging to do a better job protecting user information and privacy.

Facebook two-factor authentication

In September 2018, Facebook admitted that it was providing user phone numbers to advertisers. Users originally provided their numbers to enable two-factor authentication. This authentication was intended to provide integrity to the Facebook login process, and user information was supposed to be kept private.

Cambridge Analytica

The Cambridge Analytica scandal broke on March 19, 2018. Cambridge Analytica was a political data analytics firm with an app used by Facebook users. Cambridge Analytica then accessed user data without user authorization. The collected data was allegedly used to influence the 2016 U.S. elections and U.K. Brexit vote. The scandal triggered an investigation by the Federal Trade Commission. Zuckerberg appeared before the U.S. Congress to address concerns about privacy practices.

Facebook Papers

Facebook has had many whistleblowers come forward over the years alleging wrongdoing at the company. Perhaps the most well known of them is Frances Haugen. In 2021, she leaked details on the social media giant's own research about the negative effect Facebook has on teen girls and others. Haugen testified before Congress on Oct. 5, 2021, about Facebook and its effect on children.

Facial recognition

In November 2021, Facebook announced it was shutting down some of its facial recognition capabilities to allay concerns about user privacy. There are multiple problems with the facial recognition that Facebook was using, including tagging users without permission.

EU privacy law fine

In May 2023, European Union regulators fined Meta $1.3 billion USD for violating EU privacy laws by transferring Facebook users’ personal data to United States servers. The European Data Protection Board announced the fine and said that storing personal data in the U.S. infringed on Europe’s data privacy law – the General Data Protection Regulation.

Facebook dangers

As a community of users that share information and pictures, there is no shortage of potential dangers that can put users at risk.

Facebook has admitted to multiple risks and identified several safety resources to stay safe on the site. Users should think before they post, report things that are suspicious and never share their passwords. Here are some potential dangers for Facebook users:

22 Nov 2021

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