Stories
Slash Boxes
Comments

News for nerds, stuff that matters

Slashdot Log In

Log In

Create Account  |  Retrieve Password

Why Web 2.0 Will End Your Privacy

Posted by timothy on Mon Jun 05, 2006 02:59 PM
from the hot-local-girls-want-to-meet-you dept.
An anonymous reader writes "This is a pretty good insight into some of the dangers of social networking and website customisation -- marketing and loss of privacy. When marketeers know who your friends are and what you are all into, it makes their advertising a lot more effective. From the article: "Why are the companies worth so much money? Why is MySpace worth over half a billion dollars without a proper revenue model? Why is Digg allegedly pitched at over $20m (at the last count) without any idea of where money is going to be pulled from? The answer is - data. Information. Marketing. Every detail about you and me. That is where the money is."
+ -
story
This discussion has been archived. No new comments can be posted.
The Fine Print: The following comments are owned by whoever posted them. We are not responsible for them in any way.
 Full
 Abbreviated
 Hidden
More
Loading... please wait.
  • Cheeky... (Score:5, Funny)

    by toupsie (88295) on Monday June 05 2006, @03:01PM (#15474379) Homepage
    An anonymous reader (Taco?) writes: Why is Digg allegedly pitched at over $20m (at the last count) without any idea of where money is going to be pulled from?

    Meeeoooowwwww!

  • IANAJ, but (Score:5, Insightful)

    by yagu (721525) * <yayagu @ g m a i l .com> on Monday June 05 2006, @03:02PM (#15474387) Journal

    I am not a journalist, but how do these guys get their credentials? Wil forwards an interesting thesis about the advent of loss of privacy as more people jump on the internet, but he forwards this under the aegis of Web 2.0.

    Give Wil credit, he actually tries to define Web 2.0, but it's probably the 10th definition I've seen. (For the record, my definition more typically aligns with the advent of more desktop-like and agile web/browser applications that start to look and feel like desktop.)

    However, I don't see the increased loss of privacy correlated much at all to Web 2.0, unless you just consider that, over time, people have less privacy, and that, over time, Web 2.0 continues to evolve (whatever that means). For example, Wil cites: "The one thing the Web 2.0 sites have in common is that they are furiously mining information about you and your buddies. What you like." Again, this has little to do with Web 2.0. That "Web 2.0" is the current buzzword is the only relationship to increased data-mining. Data-mining has been available, happening, and increasing in the internet domain for years.

    I think privacy has changed and evolved as a result of increased communications networks... Web 2.0 has little to do with that and is only a small part of it. As databases get larger, networks get faster, data-mining gets smarter, computer processors get faster, an end result is there is more data than ever about more people than ever in more places than ever.

    Whether that results in loss of privacy is an interesting debate, but in my opinion not an assumption/axiom. For example, the more data out there, the more it becomes environmental noise. Interesting perhaps at first, and maybe for longer to specially interested parties, but something we will adapt to. (As an aside, I do think there's a learning curve for young people and their interaction on sites like MySpace, they need to learn not to put voluntarily so much personal information out there as to make themselves vulnerable to predators, a lesson I think they're learning.

    Another result I find useful is that I get much more directly targeted advertising than ever before. It's nice now, no more tampax fliers in my mailbox, but it's handy to know Staples has a new SD 1G card available for my camera at less than $100.

    • by IDontAgreeWithYou (829067) on Monday June 05 2006, @03:19PM (#15474549)
      Another result I find useful is that I get much more directly targeted advertising than ever before. It's nice now, no more tampax fliers in my mailbox, but it's handy to know Staples has a new SD 1G card available for my camera at less than $100.

      You apparently forget where you are. On Slashdot, advertising of any kind is considered the worst oppression since the holocaust... Uh Oh... Godwin :(

    • Title: Why Web 2.0 will end your privacy

      Paragraph #1: MySpace, Digg, Flickr ... no real content.

      #2: One sentence stating what he believes. Then a lead in to ...

      #3: A "definition". No explanation that was promised in #2.

      #4: Back to Digg (see #1).

      #5: Back to MySpace (see #1).

      #6: Google has ads.

      #7: Back to MySpace, again (see #5 & #1)

      #8: Why does he belive that Gmail is anything near Outlook in functionality?

      #9: Yeah, "neat". Whatever.

      #10: Websites don't make money. Welcome to 1999. Don't forget to party.

      #11: Companies pay lots of money for popular websites ... even when those websites don't make money. Welcome to 1999 already!

      #12: YouTube. See #11 and #10.

      #13: Back to the top of the page. Again, they don't make money. 1999.

      #14: Why do companies want to pay so much money for websites that aren't making money? It's like it's 1999 all over again.

      #15: The companies paying the money want data.

      #16: Even he sees that it's 1999.

      #17: Well, it is 1999. But he'll call it "Web 2.0".

      #18: All those companies are compiling data on the the people who post pictures of their cats.

      #19: Yahoo! knows nothing about me except the news groups I subscribe to through them.

      #20: Companies will pay lots of money for "data" on "individuals" and "groups". Even if the "data" is "OMG!!1 U R A QT!!! UR cat is funee"

      #21: Web 2.0 has a "bubble" and it will burst. Yeah, whatever.

      #22: Free photo hosting.

      That's all there is. Toss in "Web 2.0" and name some popular sites and then claim that "privacy" is going away.

      Well, "privacy" does not really exist on the 'web and what you did have is vanishing ... but not because of MySpace. Because too many companies are posting your private data on the 'web and allowing anyone with the money to search through it.
  • by PFI_Optix (936301) on Monday June 05 2006, @03:02PM (#15474390) Journal
    Stories like this remind me of why I don't get involved in "social networking" and all that mess. The closest anyone can come to knowing anything about me is by tracking my book purchases, which are all IT-related. There is an alarming amount of information about us available to a lot of people right now, I don't understand why so many people are so quick to jump out there and put their entire lives on the internet.
    • by tddoog (900095) on Monday June 05 2006, @03:14PM (#15474507)
      Obviously because they don't have anything to hide, unlike a terrorist.
    • by stlhawkeye (868951) on Monday June 05 2006, @03:18PM (#15474536) Homepage Journal
      Because my life is actually interesting and consists of something besides IT-related books cluttering up a dusty bookshelf in an untidy basement apartment. It'd be selfish not to share it, especially when there are, obviously, so many people who desperately need to live vicariously through somebody else's life.

      All joking aside, I also don't "get" the social networking sites, and I avoid them. My blog is sufficient for my friends and family and follow my various goings-on. At the risk of sounding like a snob, I guess I don't see the point of hanging out in chat rooms and social networking sites when there's a ton of people all over the place you could be actually meeting and hanging out with. Then again, I met my wife through the personals, mostly because I rarely find the kind of women I'm interested in at your typical thirtysomething watering hole. I suppose in the end people want a safe and largely anonymous way to say, "hey, here's who I am," and hope to God that people like them. Dunno. I smell a senior thesis in all of this somewhere.

  • Oh noes! (Score:5, Funny)

    by Uhlek (71945) on Monday June 05 2006, @03:03PM (#15474395)
    You mean that posting intimate details of my life on the web may be an affront to my privacy?

    Say it ain't so!!!
    • Re:Oh noes! (Score:5, Insightful)

      by paroneayea (642895) on Monday June 05 2006, @03:15PM (#15474517) Homepage
      Fair enough about how obvious it is that people are losing their privacy. But I don't think that social networks give up *all* privacy... we're in bigger trouble with, say, AT&T handing over all our data to the NSA than we are with Web 2.0, because with Web 2.0 its at least a voluntary decision of what to hand over. That said, sure, there are some privacy issues, but I think there may in some ways be some worse things about Web 2.0 than just the privacy part. Why aren't too many people in the FOSS community bothered with this whole trend of "proprietary" web-based applications? Granted, in some areas it isn't such a problem as others, but aren't some of the principles the same?
        • Re:Oh noes! (Score:5, Insightful)

          by Skreems (598317) on Monday June 05 2006, @03:55PM (#15474822)
          They're giving it up voluntarily, but most probably weren't anticipating that what they gave up would be used to target them for marketing, especially since it's going to happen after the company is bought out by a 3rd party. They were definitely irresponsible to just put their lives into this software, but the expectation at the time was not that some nameless corporation would be able to datamine their list of friends.
  • by Coopjust (872796) on Monday June 05 2006, @03:03PM (#15474400)
    I have to ask; how much is the data worth when a good part of the data is fake?

    I think that myspace is a cesspool, but everyone my age has one. I'll give you a hint: They aren't in their mid thirties earning 250k+ a year.

    No matter how much data you have, if it isn't true it;s worthless.
    • by VoidEngineer (633446) on Monday June 05 2006, @03:47PM (#15474753)
      I have to ask; how much is the data worth when a good part of the data is fake?

      I think that myspace is a cesspool, but everyone my age has one. I'll give you a hint: They aren't in their mid thirties earning 250k+ a year.

      No matter how much data you have, if it isn't true it;s worthless.


      You seem to be stuck in some type of positivist thinking (at least you're not capitalizing the word 'true'); and possibly not all that familiar, actually, with data mining techniques. It would, perhaps, be a better statement to say that 'No matter how much data you have, if it isn't precise, it's worthless.' Precise, inaccurate, skewed data can reveal all sorts of patterns and relationships. Take, for instance, a scale that measures weight which is off by 10lbs. The data it tells you is not 'true', but you can certainly use it to measure if you've gained or lost weight.

      Similarly, it doesn't matter at all if people use fake names, fake addresses, or whatever. If teenagers consistently enter in fake data to these websites after midnight, while 30 somethings enter fake data during working hours, you can quite reasonably conclude that the teenager demographic has different sleeping patterns than the 30 something crowd.

      And lets not forget all of the statistical and mathematical tools you can use to filter out noise. From chi-square tests and standard deviations to fourier transforms and gaussian analysis... there are an endless supply of tools to filter out noise. (interesting philosophical question: is 'noise' considered true or false?)
  • that's easy (Score:5, Insightful)

    by Clover_Kicker (20761) <clover_kicker@yahoo.com> on Monday June 05 2006, @03:04PM (#15474406)
    > Why are the companies worth so much money? Why
    > is MySpace worth over half a billion dollars
    > without a proper revenue model?

    Because nobody learned a damn thing from the dot-bomb.
  • by Augusto (12068) on Monday June 05 2006, @03:05PM (#15474419) Homepage
    Privacy has always been an issue with computers, specially since the first inception of a network protocol. There's really nothing new about website and webapps tracking usage, it's been done forever. Why do marketroids and "journalists" have to keep coming back to this overloaded "web 2.0" term?

    The internet doesn't have a version number, get over it people.
  • by Mateo_LeFou (859634) on Monday June 05 2006, @03:05PM (#15474420) Homepage
    Pervasive advertising, no matter how relevant to my needs, gets a little annoying, but on the whole I'd rather pretty-much see Dell ads over "Get the Facts" any day.
    • I was going to ask the same question. A friend of mine works on adserving technology and i was giving him a bit of greif about how he slept at nite, and so on.

      He and I are both car junkies so he had a clever response. "If, when you saw ads, they were things like new products for your specific car, would you be as mad at them? I mean, if someone makes a new 9lb flywheel for your engine, and we show you that ad, will it be upsetting?"

      I had to concede - no. I currently spend my time trying to find what I want when it comes to go-fast parts for my cars.

      If I only ever saw ads for performance car parts for cars that I own, deals on new anime releases, and accessories for canon EOS cameras, i'd probably really enjoy advertising.

      My naive hope is that eventually, spam-style ads will go away due to market forces. People with legitimate products will understand that more effective ad techniques exist, and shit-peddlers will be marginalized, much luck the current crop of spammers have been.
  • It's a bit funny (Score:5, Interesting)

    by From A Far Away Land (930780) on Monday June 05 2006, @03:06PM (#15474430) Homepage Journal
    Anyone who is part of WAYN, HI5, MySpace, Digg, Slashdot [has friends and foes too you know], Stumbleupon, or has blogrolls, is really set up to be data mined rather completely. Either you have to not give a rat's patootie and do it anyway [like I do with some services], or you wear your foil hat and react with hostility to every "Hi :-)" email you get from a distant friend.

    If you have matured and realize you really don't NEED that SUV, or Sony laptop to have a high quality daily life, then targetted marketing won't matter. But if you're letting your 10 year old play on the Internet, you should really wonder what Mattel and Disney/ABC knows about your child by now.
  • by FellowConspirator (882908) on Monday June 05 2006, @03:08PM (#15474453)
    Let's assume that Web2.0 had something to do with social networking for the sake of discussin the article...

    The thesis that advertising becomes "more effective" is without evidence. Advertisers might hope it is more effective, but historically, it's only proven to be more annoying (both by being more plentiful, and by making hopelessly silly demographic conclusions). I'm guessing that this sort of targeted advertising will go over like Jalapeno-flavored toilet paper.
  • by Ckwop (707653) * <Simon.Johnson@gmail.com> on Monday June 05 2006, @03:08PM (#15474462) Homepage

    It's wrong to attach this issue exclusively to the technology called Web 2.0; whatever that term really means anyway - but that's another rant.

    The picture is much broader than that, the assault on our privacy is being conducted on many fronts and motivated by the same desire: To waste less money on marketing.

    Someone once said: "I know I'm wasting half my money on advertising. The problem is that I don't know which half that is"

    The Internet, it seems, is providing a solution to this conundrum. Suddenly, advertisers have the ability to only pay for advertising only when someone responds the advertising. This makes such adverts far more valuable than something that isn't interactive like a billboard or TV advertisement.

    But this is just the beginning. In the next few years, we will see the development of schemes where you pay for advertising only when you make a direct sale off the back of it. The scheme will track you from the moment you click, to the moment you get the confirmation e-mail. The problem with this is that in order to audit it properly you need to link that click through to a real person. And there-in lies the privacy problem.

    The solution to this problem is fairly easy: Just block all the advertising. People, like the owners of Slashdot might decry this solution because sites such as theirs might not be able to survive without this revenue. I put my money where my mouth was. I like Slashdot so I paid for it directly.

    Imagine how much higher the standard of Slashdot would be if all it's revenues came from subscribes. Suddenly, quality matters much more than page views. Remember, it took Digg to motivate Slashdot to change, because its cash cow was the advertsing and Digg was starting to threaten that. If we took out this source of revenue, the quality of the web would surely increase.

    Only the people who make lucid enough points to attract paying subscribers would be able to sustain a high traffic site. As a result, natural selection would weed out the trash and reward the good. A future without advertising is a future where the user comes first.

    Simon.

  • by smooth wombat (796938) on Monday June 05 2006, @03:09PM (#15474473) Homepage Journal
    If you don't participate in this stuff you can't lose your privacy. I don't contribute, visit or have an account on any of the stuff that is mentioned. Why? Don't care. I use the web in the way I want, not the way the advertisers think I should.

    Just as if you clear your cookies every time you're done surfing the marketers will always treat you as a new visitor even if you visit every day. In other words, the sites statistics are skewed and will burn money because of inflated figures.

    Yeah sure, most people don't care about privacy. Witness the reaction to people when you tell them that their phone messages might be recorded by the government or that the police can search their home without a warrant; "I have nothing to hide so what's the big deal?"

    Yet, amazingly, people are paranoid about identity theft. Um folks, just how do you think some of you lost your identity? Naw, it couldn't have been that long winded, detailed bio you posted on MySpace now could it? You know, the one where you posted your first and last name, your hometown, what school you went/go to, where you hang out and all the other useless cruft that people just have to know about you.

    While the author does have a point, data mining is the new wave in online transactions, if people don't participate the advertisers will just be burning money for little reward.

    Kind of like commercials. I don't watch/listen/read them so the money that is spent to get me to buy a product or service is wasted.

    Don't want to lose your privacy? Don't participate in things that could affect you in that way. It's that simple.
  • This comment in the summary caught me, especially how it carried a negative/alarmist connotation: "advertising a lot more effective."

    I, for one, am really looking forward to "better" advertising. Advertising isn't a bad thing, it can be an informative help to find the projects/services I'm looking for. It's shitty advertising that just fires shotgun marketing in the dark hoping for a hit that sucks. I've actually clicked on a number of Google advertisements when searching for products/services, because they were relevant to what I was looking for and I wanted more information.

    It's the huge pop-over, pop-under, flashy, sound making (grraah!) advertisements trying to sell a 24 year old college student home owners insurance or pull me into a pyramid scheme that are the bane of internet existance. (yes, I use firefox, flashblock, etc to lower my exposure, but still.)

    If the information that I have voluntarily made public on social networks leads to advertisements for things that I'm actually interested in or even actively searching, I'm all for it. As long as I'm making all the information public myself, I'm not involuntarily losing any privacy either.

    It's kind of a bummer, I think, that all the horrible advertising through time has created so many people that just knee-jerk hate the stuff. Maybe in time with relevent advertisements they could turn that around so that they seem useful instead of annoying.
  • Not just marketers (Score:4, Informative)

    by anaesthetica (596507) on Monday June 05 2006, @03:12PM (#15474496) Homepage Journal
    What's worse is people who put too much information online, without realizing that the very same information can be used against them. For example, people like to put personal details on their user pages, whether they're on Slashdot, Flickr, MySpace, or Wikipedia. Unthinkingly, that very same information can be dug up by people and used to threaten your job or your personal life. Wikipedia keeps a record of every iteration of your user page, so that anyone can troll through the personal information you (idiotically) put on the internet. If you are editing an article that's also edited by someone with an agenda, they can dig up your personal information and send an email (or worse) to your employer. This is not unique to Wikipedia's history-versioning, as nearly any user page can be dug up through Google caches or the Internet Archive. If you use the same (or similar) username across multiple sites, someone with a malicious agenda can find out a whole lot about you. Just think of all the information and dumb things you've said on Slashdot, your blog, your Flickr page, your Last.fm/Audioscrobbler page, etc. etc.

    The problem is that these online communities work because of personal information: dynamically connecting people with similar interest and opinions is what Web 2.0 is all about (inasmuch as a buzzword can be "all about" something). If we can't trust that the information and content we put online can't be used against us, then Web 2.0 will eventually fail, once enough people get burned.
  • FUD (Score:5, Informative)

    by Lord_Dweomer (648696) on Monday June 05 2006, @03:16PM (#15474525) Homepage
    Time for my usual preface I give when I comment on advertising stories.....I'm an advertising executive, so while you may consider me biased, I also have a lot of insight into an industry that most people just make snap judgements about. And believe it or not, I'm actually a strong advocate of privacy in all forms.

    Do "Web 2.0" sites give marketers more information about users? Yes.

    Is this an invasion of your privacy? Absolutely not.

    You are WILLINGLY entering this data into these sites and if you read their privacy policies they clearly state how it will be used. Don't want to share this info about yourself? Don't use the site. There is no invasion going on here. They are not hiding spy cameras in your room watching what you do on the computer.

    Also, better targeted advertising != more advertising. Unfortunately, what happens is that many of these Web 2.0 sites rely on advertising revenue for their business model, thus why sites with large subscriber bases are worth a lot.

    Lots of eyeballs = $$$$

    So the owners of the sites then realize, "hmmm...I can make more money if I put more ads on the site!" and thus you have ad creep. However advertising that is more narrowly targeted is actually a good thing. Unless you have adblockers running, you WILL see ads on the internet, and rather than bitch and moan about how you want nothing to do with those sites that are being advertised, ads that are more highly targeted will have a better chance of showing something relevant to you that you might actually appreciate an ad for.

    And for those of you who claim advertising is useless and it never affects you....you are liars. Period. Next time you make ANY purchase, take a moment to think back to the last time you saw an ad for that product. If you can remember seeing an ad for it, then you were subconsciously influenced by that ad (even if it was by a tiny amount) and your brand awareness increased when you saw the ad. This isn't something that is debateable, it is a logical fact.

    Bottom line? If you don't want advertisers to show you more relevant ads, don't use Web 2.0 sites that collect and share this data. If you don't want more ads install an adblocker or blame the owners of the sites whose business models rely on advertising and thus fall victim to ad creep.

  • When you buy a bottle of milk in a supermarket, you diminish your privacy by letting the retailer know, that you need a bottle of milk. When you hire a maid to clean up your flat, you let her know a lot about your dirty laundry (literally and otherwise). And when you buy a book at a bookstore (or a video), the proprietor could offer you another one on your next visit (like Amazon does).

    That's how it all begins — computers, WEB-2.0, and other technological advances simply enable us to trade even more privacy for convenience.

    When the choice is volunteer, that's perfectly Ok. At least, MySpace and others don't force you to reveal your real name on the site. If the solicitations get too much, all you need is to do is close the account. Government-imposed things, however, are much worse. EZ-Pass — increasingly mandated at toll plazas — is not anonymous at all.

    Sadly, nobody seems to care... The worst a marketeer can do to you is spam. Government has much bigger abuse potential.

    • Re:Wikipedia (Score:5, Interesting)

      by Coopjust (872796) on Monday June 05 2006, @03:07PM (#15474440)
      The article is talking about sites where you put information about yourself- myspace, facebook, etc., and how they're worth so much- because of how much infromation people will give out about themselves.

      Wikipedia is a free encyclopedia, that can be edited anonymously, without ads. So few are interested in buying it at an insane price.