Instagram Privacy Policy Issue
One recent case study where marketing ethics plays a role
for a company is Instagram. Except this isn't a case study. It
is a ethics memo directed at whoever can resolve the ethical
problem, which is not me. This is a photo-sharing website
where people can create an account and share pictures with
family and friends. Some say Instagram is the picture
version of Twitter. However, the ethical dilemma with
Instagram occurred when the company was purchased by
Facebook during the end of 2012, which forced Instagram to
change their privacy policy and terms of use. According to a
Santa Clara case study, “According to the updated terms, "a
business or other entity may pay Instagram to display users'
photos and other details in connection with paid or
sponsored content or promotions, without any compensation
to you”. Many users became outraged with the change in policy because
any business or public entity could use Instragram pictures without having
to compensate the owner of the picture. The ethical issue that lies in this
situation relates to how much information should Instagram share to third-
parties, if any.
The ethical issue at hand is creating a privacy policy that
makes sure users of Instagram do not have their rights of
privacy taken away by changes in the privacy policy. Once
Instagram was bought acquired by Facebook, many users
became outraged because Instagram planned to adopt a
privacy policy like Facebook’s which was different. Users
believed that their privacy with photos would not be upheld
and users could not prevent their information from being
shared to the public.
Instagram is not acting ethically because once the company
was acquired, the change in privacy policy caused an area
for concern because users did not expect this change. By
changing the policy, users believed that third parties could
use any picture from Instagram for use since the information
is seen as public. The confusing language of the privacy
policy was called into question. According to an article from
Yahoo, “It was interpreted by many that we were going to
sell your photos to others without any compensation. This is
not true and it is our mistake that this language is confusing”
(NCC Staff). The dilemma Instagram has to deal with is assuring users that
the content they upload to Instagram will not be used for outside use,
unless consent is given by the user. They need to make sure the privacy
language is clear, or else the vagueness of the policy can be used as a
weakness for third parties to use this information. “No other major photosharing service appears to have language as broad as Instagram’s, which
claims the perpetual right to license users’ photos to companies or any
other organization, including for advertising purposes, which could
effectively transform the Web site into the world’s largest stock photo
agency” (NCC Staff).
In order to address the issue at hand, Instagram needs to
revise its privacy policy and state in clear and concise
language that the privacy of users will be upheld before
Facebook acquired the company. As a result of the
acquisition, Instagram has altered their privacy policy.
Currently, it states, “Instagram does not claim ownership of
any Content that you post on or through the Service.
Instead, you hereby grant to Instagram a non-exclusive, fully
paid and royalty-free, transferable, sub-licensable, worldwide
license to use the Content that you post on or through the
Service, subject to the Service's Privacy Policy, including but
not limited to sections 3 ("Sharing of Your Information"), 4
("How We Store Your Information"), and 5 ("Your Choices
About Your Information"). You can choose who can view
your Content and activities, including your photos, as
described in the Privacy Policy” (Instagram website).
Instagram has taken action by allowing users to customize
the privacy features on their account. This ensures that
Instagram has tried to meet the privacy concerns of their
users and hopefully the language is clear enough for users
to clearly understand what Instagram can and cannot do with
the pictures that are uploaded on the website.
References:
http://news.yahoo.com/instagram-policy-changes-post-privacy-challenges215809883.html
http://instagram.com/about/legal/terms/
First, no separate works cited. Citations should be embedded in the memo.
Second, who is your audience? Instagram or Facebook. That depends on
who responsible for the ethical failure. Was it Instagram for not maintaining
their user agreement prior to purchase? But was that an option for them
because they were being taken over by another company? Should they
have declined the purchase offer unless Facebook agreed to let them keep
their existing user agreement? Or is the audience Facebook because they
now own Instagram and set policy? Does Instagram still have its own
leadership or is the leadership now Facebook, in which case this memo
must be addressed to the CEO and board of Facebook.
Third, your content is solid but I would rework the structure a bit.
1. Open with Instagram's previous user agreement terms.
2. The buyout by Facebook and the adoption of Facebook user terms.
3. Now the ethical issue.
4. The solution. Don't forget to remind Facebook that trust is becoming a
serious issue with them for various reasons.