THAT'S NOT BUSINESS WE ARE IN.
CHARLES: HE SPECIFICALLY CALLED
OUT THE PRACTICE OF DATA
COLLECTION AND SELLING
INFORMATION.
JOINING ME NOW TO DISCUSS, LIZ
PEEK, HE SAYS, HE DOESN'T
BELIEVE THEY HAVE TO TAKE YOUR
DATA TO MAKE THE SERVICE BETTER.
HE SAYS WHOEVER IS TELLING YOU
THAT, IT'S A BUNCH OF BUNK.
>> YOU WANT TO KNOW WHAT?
I THINK APPLE'S TIM COOK IS
RAISING SOME GREAT QUESTIONS
HERE.
BASICALLY THEY SAY WE NEED THIS
BECAUSE WE ARE GOING TO MAKE THE
PRODUCT BETTER AND SERVICE
BETTER FOR YOU.
IF I'M CONGRESS I SHOULD BE
COMPLETELY CONCERNED ABOUT HOW
THEY ARE GOING TO BUY AND SELL
THIS ON THE SECONDARY MARKET.
IF YOU LOOK AT SOME OF THEIR
USER AGREEMENTS THEY SAY THE
THIRD PARTY VENDORS ARE SERVICE
PROVIDERS.
THEY SHOULD BE CONCERNED ABOUT
BIG EFFECT'S ABILITY TO TIP AN
ELECTION.
CHARLES: OTHERS ARE SAYING DON'T
DO BUSINESS WITH THESE FOLKS IF
YOU ARE SO AFRAID OF THIS
HAPPENING.
IT'S THE PRICE OF ADMISSION
WHICH OFTEN IS FREE.
>> IT'S ALMOST IMPOSSIBLE NOT TO
DO BUSINESS WITH GOOGLE.
FACEBOOK LESS SO.
TIM COOK AND APPLE HAS YOU A
DIFFERENT MODEL.
THEY MAKE MONEY FROM SELLING
IPHONES AND WATCHES, BUT THEY
DON'T HAVE TO DO THE DATA MINING
THAT FACEBOOK AND GOOGLE DO.
I THINK THIS IS A SERIOUS
PROBLEM.
I THINK THE COMPANIES ARE EITHER
GOING TO HAVE TO CHARGE FOR
SEARCH MECHANISMS AND OTHER
KINDS OF PROCEDURES WHICH NOBODY
WANTS THEM TO DO.
YOU DON'T WANT THEM TO GO ON
GOOGLE.
OR THEY ARE GOING TO HAVE TO GET
SERIOUS ABOUT PRIVACY.
I THINK THAT'S THE PROBLEM
FACEBOOK HAS NOW.
THEY HAVE NOT GOTTEN SERIOUS.
WE HAD TWO HUGE DATA BREACHES.
THIS ONE 50 MILLION.
THAT'S A LOT OF FOLKS' DATA OUT
THERE POSSIBLY FOR SALE.
WE DON'T KNOW.
CHARLES: FORD, YOU MENTIONED THE
GOVERNMENT TAKING A CLOSER LOOK.
IT'S HARD TO LOOK AT THESE
COMPANIES AND NOT THINK AT SOME
POINT ANTI-TRUST WILL COME UP.
EVEN IF IT'S A BARRIER TO
COMPETITION.
AT SOME POINT SOME GOVERNMENT IS
GOING TO LOOK AT THESE COMPANIES
AND SAY YOU HAVE TOO MUCH POWER.
YOU SAID THEY CAN SWAY
ELECTIONS.
COULD YOU SEE THEM GETTING INTO
BEING BROKEN UP TO A DEGREE?
>> I THINK THERE WILL BE
GOVERNMENT INTERVENTION.
I THINK WE ARE STARTING TO SEE
THAT IN THE E.U.
>> WE KNOW THE EUROPEANS, THE
E.U. DOES THAT ALL THE TIME.
THEY REPLACED THAT WITH
INNOVATION.
COULD IT GO FURTHER THAN THAT?
>> I DON'T THINK IN AMERICA WE
WANT TO DO THAT.
AND I DON'T THINK A LOT OF
PEOPLE REALIZE THE POWER GOOMG
AND FACEBOOK HAVE.
60% TO 70% OF ALL U.S. SEARCHES
ON THE INTERNET BEGIN WITH
GOOGLE.
THEIR ABILITY TO CONTROL THINGS
AND SWAY OPINION IS RIDICULOUS.
60% OF ADULTS ARE OBJECT
FACEBOOK.
THEIR ABILITY TO SHOW YOU WHAT
YOU CAN SEE AND FORM YOUR
OPINION IS VERY, VERY DANGEROUS.
THEY COULD BECOME A GOVERNMENT
IN AND OF THEMSELVES.
CHARLES: BIG BROTHER, I THINK
THEY ARE MORE OF A POSSIBILITY
OF BIG FOUR OR FIVE TECH
COMPANIES BEING ULTIMATELY BIG
BROTHER DESCRIBED BY INFORMATION
WELL.
>> IT'S UNNERVING THAT EVEN IN
THESE SITUATIONS WHERE YOU ARE
ABLE TO TURN OFF THE APPS AND
TELL THEM WHAT YOU ARE LOOKING
AT, ET CETERA.
IT'S NOT TRUE.
THEY STILL KNOW WHAT YOU ARE
DOING ON THE WEB.
TIM ACROSS TOOK THE HIGH ROAD
BECAUSE THEY BROUGHT OUT IN JUNE
VARIOUS FEATURES IN THEIR NEW
APPS AND NEW PHONES THAT WOULD
PREVENT THE APPS FROM DOING
THAT.
HE ALSO TOOK A SWIPE AT FACEBOOK
BY IMPLEMENTING FEATURES WHERE
YOU CAN MONITOR HOW MUCH TIME
YOU SPEND ON FACEBOOK AND TURN
IT OFF.
CHARLES: WE HAVE GOT TO LEAVE IT
THERE, FORD.