As Facebook turns off facial recognition in Europe, is this the start of a change for the company?

Meet the new social network, not quite the same as the old social network.

After a long struggle with the Irish Data Protection Commission, Facebook is set to delete the last tranche of data kept from its facial recognition feature, dubbed Tag Suggestions, and turn it off for all users today. It just the latest retreat in a series of changes which may redefine the company.

The Tag Suggestions feature was first announced in December 2010. By using a mixture of information about facial shape and features, and contextual clues such as other people in the same album or picture, Facebook is able to suggest to users the names of other people in photos they have taken. Similar capabilities appear in other software – Apple's iPhoto, for instance, has an offline version – but Facebook's implementation leverages its vast user base to get more data than any competing company could manage.

However, Facebook implemented the Tag Suggest feature as an automatic opt-in for all users. That, combined with the fact that most photos on Facebook aren't uploaded by their subjects – obviously, since someone is normally behind the camera – meant that it necessarily played fast and loose with privacy concerns.

Just six months after it was announced, the first objections were raised in the US, and in August 2011, a Hamburg court became the first to rule that it must be opt-in to comply with local privacy laws. A month later, the Irish DPC began a wide-ranging privacy audit in response to complaints from a user group, Europe v Facebook, which included in its remit the facial recognition issues.

Since Facebook's European operations are based in Ireland – largely for tax reasons, since the company has a corporation tax rate of just 12.5 per cent for trading income – the decision of the DPC has wide-ranging effects. The first report, in December 2011, gave Facebook six months to comply with a number of requirements. "Shadow profiles" – profiles made of people who haven't joined Facebook from information uploaded by their friends – had to go, while data retention for searches and ad-clicks was limited, to six months and two years respectively.

The DPC also required Facebook to provide a prominent warning to its European users that it uses facial recognition technology that automatically tags them in photographs.

It was this last requirement which Facebook seems to have found too hard to comply with. In September, it closed Tag Suggestions to new users, and this month, it is shutting the feature entirely in Europe, and trashing the already collected data.

It's a bold move to take for a company which has, in other markets, been doubling down on facial recognition technology. In June, Facebook bought Israeli company Face.com, for a reported $55m. Face.com was the provider of much of the technology used by Facebook, and the company argued that the transaction "simply [brought]… a long-time technology vendor in house."

The company has always known that privacy concerns are one of the largest hurdles it has to to overcome. In its IPO prospectus, filed in February, Facebook highlighted a number of privacy-related risks to its business, from the publicity pitfalls associated with moving faster towards "frictionless sharing" than it's users are comfortable with, to the hurdles that stricter privacy regulation could introduce.

The facial recognition skirmish is an unusually under-the-radar battle for Facebook, however. Most of its highly publicised missteps involve public information being shared without the explicit permission or notification of users. This includes, for example, the ability of friends to "check in" people in Facebook Places without asking, as well as the various concerns over the frictionless sharing of social readers and apps like Spotify.

In fact, the first major privacy battle Facebook had to fight was over this type of issue, though in hindsight it demonstrates nothing so much as how much more comfortable we've become about sharing online. In September 2006, Facebook activated the News Feed, a feature now associated with the company more than anything other than, perhaps, the "like" button. But at the time, the idea of aggregating all this information – publicly available, but never before displayed in one place – was enough to spark user rebellion.

In what has become typical for Facebook, the company bet the business on people getting used to the new rules of the game. And they did, just like they did with the changed default privacy settings, the creation and promulgation of "@facebook.com" email addresses, and the aforementioned Places feature.

But three recent moves by Facebook suggest that the company may be changing its attitude, both voluntarily and as a forced reaction to circumstances.

The first is the deletion of facial recognition data, as well as the other changes mandated by the DPC. Facebook has always dealt quite well with user discontent – if only by successfully ignoring it – but when the law gets involved, it can be forced to backtrack far further than it normally would. It also means that it can be held to account for infractions of privacy which the average user simply won't notice.

Not many of us realised Facebook was even tracking search data, putting together a profile of us which we can't see, and few would have cared even if we did. But the DPC, like other information commissioners worldwide, has the authority and remit to ensure that data is collected with permission, and not retained indefinitely. Facebook knows it will face these problems with greater regularity as other nations step up to their responsibility to protect their users, and that will surely change its attitude.

The second is that Facebook itself has been backtracking from frictionless sharing, which had the potential to be one of the biggest clashes between it and its users. Andy Mitchell, Facebook's Manager of Media Partnerships, said last month that the company was moving away from it because user feedback wasn't good. This isn't just an issue with people being displeased that what they thought was private was in fact public – although that has happened as well.

For Facebook, the bigger issue is that the results of frictionless sharing just aren't particularly interesting. Sure, Facebook would like to know every news story you read, or every song you play, because it helps them build up a formidable picture of you to sell to advertisers. The problem is that social media is only interesting to anyone else if it allows people to present a curated vision of themselves. Nobody cares about the full list of songs you've played, but they may want to hear the one which is your absolute favourite at the moment. If Mitchell is to be believed, Facebook has come around to this way of thinking. The privacy benefits for users should be obvious.

The third change by Facebook is perhaps the most important. It is that the company is demonstrating a growing awareness that advertisement income alone cannot help the company achieve the goals its shareholders have set for it. It's tricky to estimate a price/earnings ratio for Facebook, since it hasn't released any results since it went public, but Business Insider estimate it's around 32. That means that you would need to hold Facebook stock for thirty-two years for it to make profit equivalent to the amount of capital you've provided them – or, more accurately, it means that the majority of Facebook's shareholders expect it to start making more money.

The problem is that Facebook's previous earnings growth has come largely from user growth. But with over a billion users, it starts to get very tricky to get any growth – the size of the planet is a constraining factor. As a result, Facebook needs to get more money per user.

One way to do this is, of course, to make ad space more valuable to advertisers, and that's what all of the company's social profiling is aimed at; but that's unlikely to be enough. For perhaps the best hint of the future, look to Facebook's recent launch of Facebook Gifts. The tagline is "Real moments. Real gifts." But perhaps the phrase "Real money" should be added there, because that's what is really important. Facebook wants you to spend real money buying gifts for friends through them – and then, of course, take a cut of the transaction that follows.

A Facebook which makes money from the services it provides, rather that providing services as a sidebar to its real business of selling your data to advertisers, is a company which has a vastly longer half-life. I hope they know that too.

The facebook hompage in 2005. Photograph: Wikimedia Commons

Alex Hern is a technology reporter for the Guardian. He was formerly staff writer at the New Statesman. You should follow Alex on Twitter.

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Not just a one-quack mind: ducks are capable of abstract thought

Newborn ducklings can differentiate between objects that are the same and objects that are different, causing scientists to rethink the place of abstract thinking.

There’s a particular loftiness to abstract thought. British philosopher and leading Enlightenment thinker John Locke asserted that “brutes abstract not” – by which he meant anything which doesn’t fall under the supreme-all-mighty-greater-than-everything category of Homo sapiens was most probably unequipped to deal with the headiness and complexities of abstract thinking.

Intelligence parameters tail-ended by “bird-brained” or “Einstein” tend to place the ability to think in abstract ways at the Einstein end of the spectrum. However, in light of some recent research coming out of the University of Oxford, it seems that the cognitive abilities of our feathery counterparts have been underestimated.

In a study published in Science, led by Alex Kacelnik – a professor of behavioural psychology – a group of ducklings demonstrated the ability to think abstractly within hours of being hatched, distinguishing the concepts of “same” and “different” with success.

Young ducklings generally become accustomed to their mother’s features via a process called imprinting – a learning mechanism that helps them identify the individual traits of their mothers. Kacelnik said: “Adult female ducks look very similar to each other, so recognising one’s mother is very difficult. Ducklings see their mothers from different angles, distances, light conditions, etc, so their brains use every possible source of information to avoid errors, and abstracting some properties helps in this job.”

It’s this hypothesised abstracting of some properties that led Kacelnik to believe that there must be more going on with the ducklings beyond their imprinting of sensory inputs such as shapes, colours or sounds.

The ability to differentiate the same from the different has previously been used as means to reveal the brain’s capacity to deal with abstract properties, and has been shown in other birds and mammals, such as parrots, pigeons, bees and monkeys. For the most part, these animals were trained, given guidance on how to determine sameness and differences between objects.

What makes Kacelnik’s ducklings special then, as the research showed, was that they were given no training at all in learning the relations between objects which are the same and object which are different.

“Other animals can be trained to respond to abstract relations such as same or different, but not after a single exposure and without reinforcement,” said Kacelnik.

Along with his fellow researcher Antone Martinho III, Kacelnik hatched and domesticated mallard ducklings and then threw them straight into an experiment. The ducklings were presented pairs of objects – either identical or different in shape or colour – to see whether they could find links and relations between the pairs.

The initial pairs they were presented served as the imprinting ones; it would be the characteristics of these pairs which the ducklings would first learn. The initial pairs involved red cones and red cylinders which the ducklings were left to observe and assimilate into their minds for 25 minutes. They were then exposed to a range of different pairs of objects: red pyramid and red pyramid, red cylinder and red cube.

What Kacelnik and his research partner found was that the ducklings weren’t imprinting the individual features of the objects but the relations between them; it’s why of the 76 ducklings that were experimented with, 68 per cent tended to move towards the new pairs which were identical to the very first pairs they were exposed to.

Put simply, if they initially imprinted an identical pair of objects, they were more likely to favour a second pair of identical objects, but if they initially imprinted a pair of objects that were different, they would favour a second pair of differing objects similar to the first.

The results from the experiment seem to highlight a misunderstanding of the advanced nature of this type of conceptual thought process. As science journalist Ed Yong suggests, there could be, “different levels of abstract concepts, from simple ones that young birds can quickly learn after limited experience, to complex ones that adult birds can cope with”.

Though the research doesn’t in any way assume or point towards intelligence in ducklings to rival that of humans, it seems that the growth in scientific literature on the topic continues to refute the notions that human being as somehow superior. Kacelnik told me: “The last few decades of comparative cognition research have destroyed many claims about human uniqueness and this trend is likely to continue.”