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Facebook Privacy Issues: Facebook Could Face Future Privacy Issues with Ad Agencies

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Facebook Privacy Issues: Many people believe that Facebook Inc (NASDAQ:FB)’s “do as we please” attitude will eventually catch up with the social networking giant. Despite the fact that advertisers would love the chance to reach Facebook’s user base, there is one problem standing in the way in the future: consumer privacy.

For a better idea of where Facebook stands right now and how the company is perceived by those in the advertising industry, check out this AdAge article in full. Here is a brief rundown:

“The longer Facebook eschews the industry’s widely adopted self-regulatory privacy standard in favor of its own internal ad privacy approach, the less confident brand advertisers will be about privacy protections associated with Facebook advertising. The biggest agencies and advertisers have standardized their display ad buys according to their self-regulatory privacy program, administered by the Digital Advertising Alliance. “

Facebook Inc. (FB)In other words, Facebook Inc (NASDAQ:FB) is not currently a member of the Digital Advertising Alliance (DAA). Instead, they have their own policy regarding privacy. While this may not kill a deal with big budget ad agencies, it is definitely going to make things more difficult when the time comes – unless they change their ways, of course.

According to the same AdAge article, Razorfish was one of many companies with the opportunity to participate in Facebook’s mobile ad network test. Here is a quote from Christian Juhl, president of Razorfish West:

“Rolling out full scale, you’re going to want to look at it differently. Overall [Facebook needs] to be leading from the front, and right now I don’t think there’s good evidence that that’s happening.”

So, what can Facebook do to make things better? What could they do to ensure success with a potential mobile ad network in the future?

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