>> WELCOME BACK FACEBOOK'S
PRIVACY FALLOUT.
THE COMPANY FAILED TO PROTECT
USER DATA AND HAD WEAK
OVERSIGHT.
WE ARE JOINED BY THE COFOUNDER
OF ASPECT VENTURES.
THANK YOU SO MUCH FOR JOINING
US.
ASPECT VENTURES IS AN EARLY
STAGE CAPITAL FIRM.
TYPICALLY WHEN THEY START AND
GET STARTED.
IT COULD BE THREE OR FOUR
FOUNDERS.
WITH A NEW IDEA.
THE COFOUNDER WAS THE EARLY
INVESTOR IN FACEBOOK.
THE ISSUES AROUND FACEBOOK I
THINK ARE MUCH MORE ABOUT WHAT
OBLIGATIONS THEY HAVE AND WHAT
THEIR RESPONSIBILITIES ARE
ABOUT PRIVACY.
I THINK THAT IS A NEWER AND
NEWER CHALLENGE FOR TECHNOLOGY
COMPANIES AS THEY CONTINUE TO
BUILD THEIR BUSINESS.
THEY ARE TRAINED TO IDENTIFY
HOW THEY CAN TAKE THE NEW
BUSINESS MODELS AND STILL
MANAGE ALL THE POSSIBILITIES
FROM THAT.
>> I THINK IT WAS A SHOCK TO A
LOT OF PEOPLE SEVERAL MONTHS
AGO WHEN THE JOURNALS REPORTED
THAT FACEBOOK WAS SHARING DATA
WITH OTHER COMPANIES.
PEOPLE DIDN'T NECESSARILY KNOW
THAT BUT ON THE OTHER HAND A
LOT OF PEOPLE HE WOULD THINK
UNDERSTAND WHEN THEY ARE
ENJOYING THIS FREE SERVICE
THAT THEY ARE SHARING A LOT OF
DATA AND IT'S BEEN USED IN
SOME WAY.
HOW BIG DO YOU SEE THE LEGAL
EXPOSURE.
ANYBODY THAT USES FACEBOOK HAS
TO KNOW THAT THE DATA IS BEING
USED.
I THINK THAT IT WAS BEING USED
IN A WAY THAT BE USEFUL FOR
THE USERS.
>> ARE YOU WATCHING
ADVERTISING THAT IS RELEVANT
TO YOU.
IDENTIFY INFORMATION TO YOU AS
A USER.
ABOUT ALL OF THESE PARTNERS.
THEY HAD PARTNERED WITH.
IT APPEARED TO BE IN VIOLATION
OF THAT CONSENT DECREE.
THAT THEY HAVE STRUCK IN
2011.
OFTENTIMES YOU HAVE THESE
REVELATIONS.
YESTERDAY IT WAS NOT.
ARE WE AND A TIPPING POINT
HERE WHERE PEOPLE ARE TAKING
THESE THINGS MORE SERIOUSLY
LOOKING AT POSSIBLY TO THE EU
TO START IMPOSING BIGGER
FINES, WHAT'S THE DEAL.
I THINK THE MARKET HAS BEEN
WATCHING HOW THEY HAD BEEN
HANDLING THESE FOR A LONG.
OF TIME I THINK THERE IS A
BUILDING CRESCENDO WHETHER WE
HIT A TIPPING POINT I DON'T
KNOW.
I THINK THE MARKETS IN GENERAL
ARE MORE SKITTISH.
>> IT HAS HAVE A REAL IMPACT
ON IPOS AND THEN WE SEE A BIG
YEAR FOR THE NEXT YEAR.
PINTEREST IS PREPARING FOR AN
AND OFFERING EARLY NEXT YEAR.
TELL US WHERE YOU SEE GROWTH
AND WHAT YOUR TAKE IS ON ALL
OF THESE IPO FOR THAT YEAR
AHEAD.
I THINK IT'S CONSIDERING THAT
IPO.
THERE IS SOME BIG AND VERY
SUCCESSFUL TECH COMPANIES AND
THEN WE HAVE A WHOLE SLEW OF
COMPANIES THAT ARE COMING
ALONG BEHIND THEM.
AND REALLY DRIVING AT THE NEXT
WAVE OF COMPANIES.
>> THEY SAID YESTERDAY.
THE IPO MARKET IS IN SUCH BAD
SHAPE WITH GLOBALLY 60% OF
THEM TRADING BELOW THE PRICE
FOR THIS YEAR.
THAT IT COULD ACTUALLY BE
CLOSED IN THE FIRST QUARTER OF
NEXT YEAR.
LIKE NO COMPANIES IN THE
PUBLIC, SHE'S VERY WORRIED.
>> THEY COULD SIT ON IT IN THE
MONTH OF JANUARY BUT THEN THEY
WILL END UP GOING PUBLIC IN