Former Facebook Executive: Google and Facebook are Data Companies

Chamath Palihapitiya: Facebook and Google have become 'surveillance states' from CNBC.

"These are massive, massive data companies. Facebook is not really a social network, its a data company in disguise. Google is not really a search business, its a data company in disguise. And Amazon is this amazing company in that is modeling consumption", said Chamath Palihapitiya, CEO of Social Capital Hedosophia Holdings, with CNBC about the state of the technology industry.

Image by CNBC

A former Facebook executive said Thursday Facebook and Google act as "surveillance states" because of the vast amount of data they have on users.

"Amazon is a microscopic portion of global consumption today, so ultimately I think it has more room to grow before it invites regulatory overview," Palihapitiya said. "On the other hand, Facebook and Google effectively are surveillance states. And they have so much personal, private information about so many citizens of so many countries."

Palihapitiya worked at Facebook from 2005-2011, and has worked as a venture capitalist since.

He referenced Google having to deal with European regulators and being fined for breaching antitrust rules, saying, "It's already beginning. Because it's part and parcel to them realizing that there's too much power unbounded."

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References

CNBC. (2017). Chamath Palihapitiya: Facebook and Google have become 'surveillance states'. [online] Available at: https://www.cnbc.com/video/2017/09/14/chamath-palihapitiya-facebook-and-google-have-become-surveillance-states.html [Accessed 16 Sep. 2017].

Devaney, J. (2017). Former Facebook Exec: Facebook, Google Are 'Surveillance States'. [online] Newsmax. Available at: https://www.newsmax.com/Newsfront/facebook-google-surveillance-states-chamath-palihapitiya/2017/09/14/id/813702/ [Accessed 16 Sep. 2017].