There's a potential huge problem with
these social media sites, Google (GOOG), Facebook (FB), Twitter (TWTR). You know everybody whose
business model is advertising where the
user pays nothing, if you want to
use Facebook, if you want to use Twitter, it costs nothing! It doesn't cost you
anything to have a Twitter account, to
have a Facebook account, it's all free!
Well if it's all free
how does Facebook make all this money? Well, they make all the money by selling
the data that they collect from all of
their users to advertisers or political campaigns or anybody who needs
personal information in order to market
their product or sell their product. That is the trade-off that everybody
makes - you get the service for free but you know that they're using your
information.
I think the public, potentially there could be a backlash regarding just how much information the social media companies are actually retaining.
