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Facebook gives $10 million to charity as settlement for putting users' faces on ads without opt out.

Stashed in: Privacy does not exist.

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Is making Facebook give $10 million to charity really punishing them?

The five victims alleged Facebook violated California law by publicizing their "likes" of certain advertisers on its "Sponsored Stories" feature without paying them or giving them a way to opt out.

Facebook just raised $16 billion from an IPO.

Their ability to settle privacy violations with cash gives them significant economic incentive to experiment further with pushing the privacy envelope.

Not good.

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