Facebook sues to protect its users’ privacy from phishing spammers while being struck with a complaint by EPIC for reducing its users’ privacy. This is not so much about upholding privacy but rather deciding who makes money from personal information.

On 12/14/09 Facebook filed a lawsuit against alleged spammers (PDF):

This action arises from … theft and misuse of the usernames and passwords of Facebook users to gain unauthorized access … and send … (SPAM) to Facebook Users. Defendants’ SPAM directs unsuspecting recipients … to third-party commercial websites that pay Defendants for driving traffic to their websites.

On 12/17/09 The Electronic Privacy Information Center (EPIC) filed a complaint with the FTC (PDF):

Facebook’s changes to users’ privacy settings disclose personal information to the public that was previously restricted. Facebook’s changes to users’ privacy settings also disclose personal information to third parties that was previously not available. These changes violate user expectations, diminish user privacy, and contradict Facebook’s own representations.

I recently wrote a blog on Facebook's New “Transition” Tool and Privacy where I urged users to NOT take the default “Everyone” settings.

Of course, why did Facebook make these changes? Making Facebook “more open and connected” plus Facebook's agreement with Search Engines drives more traffic to Facebook webpages. This results in more advertising dollars for Facebook.

Not that Facebook’s and the spammers’ actions are the same, but in the end it comes down to others gaining financially from a reduction in users’ privacy.

Look for further “improvements” (read: reduction) in privacy from Facebook in the future, and in general carefully consider what information you share in any social networking/media site.