Facebook Hires PR Firm to Discredit Google Over User Privacy

Facebook Inc. enlisted the services of Burson-Marsteller, a public relations firm, to enlist reporters in writing stories that would portray Google Inc. in a negative light, highlighting concerns over user privacy. According to Burson-Marsteller, Facebook asked the firm to shed light on "publicly available information" about Google, without disclosing its own involvement. The move comes as regulators and consumer groups probe Internet companies' use of private data, with the U.S. online advertising market projected to grow 11% to $28.5 billion in 2011.

Key Takeaways:

• Facebook hired Burson-Marsteller to enlist reporters to write stories about Google's alleged misuse of user data.
• The PR firm was asked by Facebook to keep its name anonymous, citing the use of "publicly available information" about Google.
• Chris Soghoian, a blogger and former FTC employee, declined to pursue the story and instead posted the PR firm's request online.
• The email from John Mercurio, Burson-Marsteller's media practice director, alleged that Google is collecting, storing, and mining user data without their knowledge.
• Burson-Marsteller stated that withholding the client's name is not a standard procedure and is against their policies.
• Facebook acknowledged that they should have presented the issues in a "serious and transparent way."

Statistics:

• The U.S. online advertising market is projected to grow 11% to $28.5 billion in 2011 (eMarketer Inc.).
• Facebook is the world's most popular social networking service.
• The email from Burson-Marsteller's media practice director, John Mercurio, contained allegations that Google is collecting, storing, and mining user data without their knowledge.

Sources:

• Bloomberg News
• Chris Soghoian, blogger
• Burson-Marsteller Inc.
• Facebook Inc.
• Paul Argenti, professor of corporate communications at Dartmouth University
• eMarketer Inc.
• The Federal Trade Commission (FTC)
• The Toronto Star