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"A privacy watchdog's criticisms of Facebook appear to have captured the attention of the Federal Trade Commission. In a letter dated Jan. 14, David Vladeck, head of the FTC's Bureau of Consumer Protection, told the Electronic Privacy Information Center that its complaint about recent privacy changes at Facebook "raises issues of particular interest for us at this time." Vladeck added that he has asked an official to arrange a followup meeting with EPIC, but also said he can't currently confirm or deny whether the FTC has opened an investigation. FTC investigations are not public until the agency either issues a complaint or closes the matter. The FTC's consumer protection chief also said in his letter to EPIC that the commission plans to focus on privacy issues raised by social networks at the next roundtable, scheduled to be held in Berkeley, Calif. on Jan. 28. "

FTC may investigate privacy issues on FaceBook? Equal bang for the buck by identifying and educating users who post way too much personal information.

The Electronic Privacy Information Center formally asked the Federal Trade Commission on Tuesday to investigate the privacy and security safeguards of Gmail, Google Docs and other so-called cloud computing services offered by Google to consumers. The filing points to a security breach earlier this month that may have improperly exposed the files of Google Docs users to others. It asks the F.T.C. to look into the adequacy of privacy and security safeguards of Google's services and to require Google to be accountable for breaches. It also asks the agency to force Google to make its security policies more transparent and to disclose any breaches. It also asks the F.T.C. to enjoin Google from offering cloud computing services until it establishes verifiable safeguards. The full filing is available here. Marc Rotenberg, EPIC's executive director, said he was concerned about all cloud computing services, which encourage users to store a growing number of documents on the servers of companies like Google, Yahoo, Microsoft and others. But he said that EPIC focused on Google because it is the primary provider of cloud computing services to consumers.

Update on Feb. 18, 8:33 a.m.: Facebook is backing off changes to its terms of service, informing users on their official blog that they will remain intact. "Over the past couple of days, we received a lot of questions and comments about the changes and what they mean for people and their information," Facebook CEO Mark Zuckerberg writes in the blog. "Based on this feedback, we have decided to return to our previous terms of use while we resolve the issues that people have raised." To learn more, read our original post below. Facebook is having trouble dousing the flames in a firestorm over its trustworthiness. A recent change in its terms of use -- the legalese tacked onto the bottom of most websites -- has sparked concerns that the social networking giant plans to own all users' information forever. Founder and CEO Mark Zuckerberg claimed in a blog post Monday that "on Facebook people own and control their information." But privacy advocates still aren't satisfied. "I think in simple terms it's a tug of war over user data," says Marc Rotenberg, executive director of the Electronic Privacy Information Center (EPIC) in Washington. "People put information on a Facebook page to share with friends. But it's pretty much with the understanding that they're deciding what to post and who has access to it. Facebook, like any other company, is trying to obtain maximum commercial value from its users."