• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
Commentary

Commentary: A Solution to Facebook’s Privacy Mess: Charge the Richest Users

By
Alex Salkever
Alex Salkever
and
Bethany Cianciolo
Down Arrow Button Icon
April 10, 2018, 12:05 PM ET

I have a confession to make: I don’t actually hate Facebook. A social network that connects people and makes it easier to communicate is a nice idea in principle. And Facebook has already done some very good things for humanity. Just look at drug trial companies, for instance. They have used Facebook (FB) to find potential participants, slicing significant costs of this important endeavor.

Further, the #DeleteFacebook movement misses the point. Something will take its place. Facebook is only the latest generation of online social networks. More interesting and challenging than killing Facebook is fixing Facebook—and, by extension, fixing the entire attention economy across invasive online platforms.

The “attention economy,” broadly speaking, is the market for our attention span throughout the day. The Internet, television, social media, and radio all fight for our attention. Legacy mediums have long packaged and sold our attention to advertisers. But the advent of social media and search has ushered in much richer two-way transfers of information that have put our privacy at risk and also created secondary and tertiary markets for minute details of our online lives.

Here’s one idea on how to fix Facebook: Put a price on every single Facebook user and allow them to pay it to opt out of any tracking or any other activities or algorithmic interventions. That’s been suggested before, and Facebook COO Sheryl Sandberg even recently addressed it. But here’s the twist: The prices must vary by individual user and will reflect the user’s actual value to Facebook. Users in poor countries will be worth a lot less than users in rich countries.

And rich users will likely be worth more to Facebook than poor users, so they would have to pay more to use the service (we know that Facebook cares about income distribution because it has offered the capability to advertisers and marketers to target by inferred income). This would create a sliding scale that would somewhat mitigate the cost to users of lesser means. Your personal attention economy number would be unique to you. We know Facebook is already doing this internally, to some degree. The company calls it “average revenue per user.” In the U.S. and Canada, for example, a Facebook user is worth about $26 per quarter of revenue. Globally, users are worth $6.18 per quarter.

This would make the entire attention economy an explicit exchange of our attention for services that we are using with an easy opt-out.

Those who won’t pay but want to keep using the service will basically agree to give up their information and cede rights to privacy. It should even be worded that way—and in large type on a terms of service agreement. This will happen explicitly and in one fell swoop, rather than drip, drip, drip. And we can get rid of this Kabuki theater of Facebook really caring about user privacy when its entire business model to date has been premised on selling as much information about users as it can get away with.

This transparency will start to build trust and create a real marketplace for our attention. It would also work in tandem with other legislative efforts to enforce privacy, like Sen. Mark Warner (D-Va.) and Sen. Elizabeth Warren’s (D-Mass.) proposal to force companies to pay $50 or $100 for each person whose data is stolen. Likewise, it would complement proposals for better regulations and definitions of privacy in the U.S., as laid out by journalist and privacy expert Julia Angwin.

The important point, however, is changing the entire attention economy by making it an explicit market that we can see and understand instead of a murky exchange where the users are the product. In this manner, what I propose could actually work for companies like Equifax (EFX)—where services that surreptitiously collect information about us would have to receive our informed content and disclose our value whenever it sells our information. And it would build upon other ongoing Facebook efforts to make privacy controls easier to use.

Putting a transparent and personal price tag on Facebook privacy would also have the beautiful effect of making it clear whether people actually want Facebook (and other attention economy services). If no one wants to pay but they still want to keep using Facebook, then their intent becomes very obvious. People are voting with their wallets and saying that they don’t value their privacy very much. If people don’t want to pay and then stop using Facebook, it’s also obvious. They have said that the service is not worth the price of their privacy. If people want to pay and keep using Facebook sans tracking and ads, then that sends another message: that they value Facebook’s service but also value their privacy. In one stroke, we can create far better alignment between user needs and company goals. To make this transaction more accountable, once per year, Facebook (or any other service) will need to send to us a report of how our information was sold, who bought it, and for how much—and request an annual opt-in with the same caveats and large-print type.

We can take it one step further, as well, and mandate that Facebook have a button on every ad or every sponsored post that tells us who bought the post, where they are located, and how much they paid to put that post in front of our eyes. This might be shocking to some, mainly to see how little advertisers are paying to put things in front of us.

What applies to Facebook could easily apply to Google (GOOG), Twitter (TWTR), Snapchat (SNAP), Instagram, and other free social and search services. In every case, users should have the ability to know what their attention is worth.

To be clear, there are some gray areas that won’t fit perfectly into what I’m proposing.

In the case of Cambridge Analytica, for example, users were essentially tricked into willingly submitting their data to a third-party application. Internally, Facebook may want to ask paying users, for example, to turn on their facial recognition features in order to enable auto-tagging, and some users may like that idea. In this case, as well, government regulation should kick in and fine Facebook (just as it would fine other privacy violations that involve the failure to enforce privacy rules and terms of service).

As a general social principle, mandating transparency in transactions is a healthy policy—and it’s the right thing to do. Opacity hides unfairness and business models that are unethical. In sector after sector, this has been shown to be true. Unethical businesses seek to hide the value of a customer, a good, or a service from the end user. The situation is slightly flipped with social and search, where users are getting something for free but the ethics remain the same.

The bottom line is this: It is fundamentally impossible to build a business that puts users’ privacy first when the business model depends on selling private data about those users without making this practice obvious or explicit. Make everything explicit, obvious, and open—and keep it simple. This will pave the way for a healthier generation of attention economy businesses that will have far better alignment between their business models and their users’ interests.

Alex Salkever is an author, public speaker, and former vice president of marketing at Mozilla. He is also author of The Driver in the Driverless Car: How Our Technology Choices Will Create the Future.

About the Authors
By Alex Salkever
See full bioRight Arrow Button Icon
By Bethany Cianciolo
See full bioRight Arrow Button Icon

Latest in Commentary

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Fortune Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map

Latest in Commentary

Federal Reserve Gov. Chris Waller engages 200 top CEOs at the Yale CEO Summit in December, 2025. (Photo courtesy of the Yale Chief Executive Leadership Institute/Photographer Donovan Marks)
CommentaryFederal Reserve
Why over 80% of America’s top CEOs think Trump would be wrong not to pick Chris Waller for Fed chair
By Jeffrey Sonnenfeld and Steven TianDecember 27, 2025
2 hours ago
Kence Anderson is the founder and CEO of AMESA 
CommentarySoftware
I pioneered machine teaching at Microsoft. Building AI agents is like building a basketball team, not drafting a player 
By Kence AndersonDecember 27, 2025
3 hours ago
Butch Meily
Commentaryempathy
The global empathy crisis that confronts us this Christmas
By Butch MeilyDecember 25, 2025
2 days ago
economy
CommentaryGDP
Why 4.3% GDP growth proves the ‘vibecession’ theory is historically wrong
By Brian HamiltonDecember 24, 2025
3 days ago
students
CommentaryEducation
Why restricting graduate loans will bankrupt America’s talent supply chain
By Katica RoyDecember 23, 2025
4 days ago
Arnault
CommentaryLuxury
The secrets of what Arnault knows: How Bernard Arnault built the impossible, and his timeless, transferable lessons of leadership 
By Jeffrey Sonnenfeld and Steven TianDecember 23, 2025
4 days ago

Most Popular

placeholder alt text
Retail
Trump just declared December 26th a national holiday. What's open and closed?
By Dave SmithDecember 26, 2025
1 day ago
placeholder alt text
Success
As millions of Gen Zers face unemployment, CEOs of Amazon, Walmart, and McDonald's say opportunity is still there—if you have the right mindset
By Preston ForeDecember 26, 2025
1 day ago
placeholder alt text
Investing
Logan Paul auctions off $5.3 million Pokémon card, urging young people to invest more in nontraditional assets: 'Don't be afraid to take a risk'
By Sydney LakeDecember 25, 2025
2 days ago
placeholder alt text
Real Estate
Mark Zuckerberg gifted noise-canceling headphones to his Palo Alto neighbors because of the nonstop construction around his 11 homes
By Dave SmithDecember 25, 2025
2 days ago
placeholder alt text
Success
Billionaire philanthropy's growing divide: Mark Zuckerberg stops funding immigration reform as MacKenzie Scott doubles down on DEI
By Ashley LutzDecember 22, 2025
5 days ago
placeholder alt text
Economy
Trump's tariffs actually slashed the deficit from a record $136.4 billion to less than half that. Here's what else they did
By Wyatte Grantham-Philips, Paul Wiseman and The Associated PressDecember 26, 2025
24 hours ago

© 2025 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.