Facebook forced to allow users to opt out of adverts - Telegraph

Answer 1

Facebook has agreed to allow users the ability to opt out of their profiles being used for advertising called "sponsored stories" for at least 2 years.

In addition, Facebook will seek parental consent for users under age 18 to use their information in sponsored stories.

The agreement is part of Facebook's $10 million settlement with 5 Facebook users who claimed their names, images and other information were used improperly in "sponsored story" advertising. The $10 million settlement will go to charity.

A sponsored story is an ad that appears on a user's Facebook page that shows another friend's name, profile picture and a "like" by the friend as an implied endorsement of the company.

Based on an economist's analysis of the revenue, the changes to the sponsored stories feature could cost Facebook about $103.2 million.