experience i thought i was being left out what do you think about what facebook is doing. well i've written about this and i think it's just again it's intrusive in the sense that people aren't really aware that this is mandatory time lines being rolled out around the world and at some point you're going to be timelines which means that you know not normally when you post on your wall you know you see stuff that's very recent but i mean facebook's been around for years now so timeline makes all of your stuff so those old posts years ago from parties you went to you in the drinks that you had with people you may regret it's now on that wall and it's much more easily searchable so it's really the fact that suddenly there's a virtual diary that's on the web and so you know friends and enemies that may still have access to your page can can easily search and you know in some sense to get dirt on you so the fact that you know the notice wasn't really i think if you start where people are expected in that it's really difficult to opt out if you want to get rid of stuff you're go

i thought i was being left out what do you think about what facebook is doing. well i've written about this and i think it's just again it's intrusive in the sense that people aren't really aware that this is mandatory timelines being rolled out around the world and at some point you're going to be timeline which means that you know it normally when you post on your wall you know you see stuff that's very recent but i mean facebook's been around for years now so timeline makes all of your stuff so those old posts years ago from parties you went to that you had people you may regret it's now on that wall and it's much more easily searchable so it's really the fact that suddenly like there's a virtual diary that's on the web and so you know friends and enemies that may still have access to your page can can easily search and you know in some sense dig up dirt on you so the fact that you haven't noticed wasn't really i think as you saw what people expected and it's really difficult to opt out if you want to get rid of stuff you're going to now have to spend a lot o

i thought i was being left out what do you think about what facebook is doing. well i've written about this and i think it's just again it's intrusive in the sense that people aren't really aware that this is mandatory time lines being rolled out around the world and at some point you're going to be timelines which means that you know it normally when you post on your wall you know you see stuff that's very recent but i mean facebook's been around for years now so timeline makes all of your stuff so those old posts years ago from parties you went to you in the things that you had with people you may regret it's now on that wall and it's much more easily searchable so it's really the fact that suddenly there's a virtual diary that's on the web and so you know friends and enemies that may still have access to your page can can easily search and you know in some sense they got dirt on you so the fact that you had the notice wasn't really i think as you said what people expected and that it's really difficult to opt out if you want to get rid of stuff you're going t

i thought i was being left out what do you think about what facebook is doing. well i've written about this and i think it's just again it's intrusive in the sense that people aren't really aware that this is mandatory that timelines being rolled out around the world and at some point you're going to be timelines which means that you know normally when you post on your wall you know you see stuff that's very recent but i mean facebook's been around for years now so timeline makes all of your stuff so those old posts years ago from parties you went to you in the drinks that you had with people you may regret it's now on that wall and it's much more easily searchable so it's really the fact that suddenly there's a virtual diary that's on the web and so you know friends and enemies that may still have access to your page can can easily search and you know in some sense dig up dirt on you so the fact that you haven't noticed wasn't really i think as you saw what people expected and it's really difficult to opt out if you want to get rid of stuff you're going to now

like what facebook has done so let's talk about what facebook is doing right and wrong anita if i can go to you first and in seattle about a week ago i was sitting in starbucks here in moscow and sat down opened up my computer went to facebook and then went to buy a cup of coffee and by the time i'd come back from buying my coffee i'd been timeline and i wasn't very happy about it i was vaguely aware that it was happening i'm not a big facebook person but i honestly didn't like that i thought it was quite arrogant on the part of facebook i had no fair warning and i didn't know what was going on and as you know a participant of the facebook experience i thought i was being left out what do you think about what facebook is doing. well i've written about this and i think it's just again it's intrusive in the sense that people aren't really aware that this is mandatory that timelines being rolled out around the world and at some point you're going to be timelines which means that you know normally when you post on your wall you know you see stuff that's very recent but i mean facebook's b

facebook. as the company prepares to sell shares to the public, we examine what has become the facebook economy. all this week we will report on the website's impact from farm fields to state finances. what started in a college dorm room has grown to reach almost one billion people in a new form of media. it adds up to a huge business opportunity. darren gersh begins our series. >> reporter: you'd expect a company that busts myths and seeks out danger to like living on the cutting edge. which is why discovery communications is not just embracing social media, it is building facebook into its products. >> instead of just layering social on top of existing products, we're actually threading social into how products are being created, in our case entertainment. >> reporter: just look at "what not to wear", a tlc hit. >> we're very heavy on facebook because that's where our fans are. >> reporter: the makeover recipient in next month's season premiere was introduced on facebook in march. fa voted on

facebook. as the company prepares to sell shares to the public, we examine what has become the facebook economy. all this week we will report on the website's impact from farm fields to state finances. what started in a college dorm room has grown to reach almost one billion people in a new form of media. it adds up to a huge business opportunity. darren gersh begins our series. >> reporter: you'd expect a company that busts myths and seeks out danger to like living on the cutting edge. which is why discovery communications is not just embracing social media, it is building facebook into its products. >> instead of just layering social on top of existing products, we're actually threading social into how products are being created, in our case entertainment. >> reporter: just look at "what not to wear", a tlc hit. >> we're very heavy on facebook because that's where our fans are. >> repter:he meove recipient in next month's season premiere was introduced on facebook in march. fans voted on outf

. >> if you guys were the inventors of facebook, you'd have invented facebook. >> the real mark vowed he would never see the film. on opening day, he changed his mind. >> we took the whole company to go see the movie. >> took the whole company. >> i mean, i actually thought it was pretty fun. >> but i guess my question is, was it hard to watch for you? >> in watching it, it's pretty interesting to see what parts they got right and what parts they got wrong. i think that they got every single t-shirt that they had the mark zuckerberg character wearing right. i think i actually own those t-shirts. >> come on. >> and they got sandals right and all that. >> [laughs] but i mean, there are hugely basic things that they got wrong too. i mean, they made it seem like my whole motivation for building facebook was so i could get girls, right? and they completely left out the fact that my girlfriend and i have been dating since before i started facebook, right? so i'm not just, like-- >> wait, what? say that again. the girl--your current girlfriend, you were dating back then during the time of th

i thought i was being left out what do you think about what facebook is doing. well i've written about this and i think it's just again it's intrusive in the sense that people aren't really aware that this is mandatory time lines being rolled out around the world and at some point you're going to be timelines which means that you know normally when you post on your wall you know you see stuff that's very recent but i mean facebook's been around for years now so timeline makes all of your stuff so those old posts years ago from parties you went to you in the drinks that you had with people you may regret it's now on that wall and it's much more easily searchable so it's really the fact that suddenly there's a virtual diary that's on the web and so you know friends and enemies that may still have access to your page can can easily search and you know in some sense dig up dirt on you so the fact that you know the notice wasn't really i think as you say but people expected and it's really difficult to opt out if you want to get rid of stuff you're going to now have

where it is you know the source facebook to to . need to go ahead so anything you have education has i think again the size of the market here and education is helpful to a point about facebook itself but again it's that third party collection of data where you can expect consumers to anticipate all of the different business models that are developing and i just give you one example which i think is that one of the more concerning which is that there's a company called social intel and it trawls the web it looks at not only your facebook posts but your tweets and all kinds of things that you're doing and it collects that information and it provides it to employers so this isn't even about it when you apply for a job the company itself looking your facebook page they go to a third party company that's basically collect. in a digital dossier about you even when you believe in information at least in the u.s. they're subject to a kind of credit reporting laws but they keep that information for up to seven years and you may have to leav

that's a cost to me and right now facebook makes $4 per person. i would gladly give them $4 a year or $10 a year, which is what they make on selling the data, to get it in a private protected way, and other web sites i go to, like i mentioned dictionary.com, they don't tell me that they're putting 233 tracking mechanisms on my computer. so, then we have this whole issue whether people read the terms of service. so, one game company, in their terms of service said, you give us your immortal soul, and 88% of people gave up their immortal soul so think got it -- i tried to download a free book and i had to agree to 42 pages at the apple store so i said, forget it. i don't have time to read all this. and we would never, never say, with other important rights, yes, a company can make you give it up, even to get a free thing. i'm sure people would give up their right to vote, right to have children, to get a free something, and we just don't do that. we don't make people make those bargains. >> oo well, we're out of time, the. >> we'll come aboard. i am

in today's shopping on facebook doesn't include facebook credit. so facebook is not taking any kind of cut on that. people shopping on facebook are using either credit card or pay pal to make a purchase. i'm really excited for facebook credits to become a platform for purchasing physical goods. obviously today you have to pull out your credit card to make a purchase on facebook. if i have credits attached to my facebook, i just press a button and instantly purchase. that's a dream come true for our platform. but facebook has to get to the point where that platform can be that for us. and it can't be 30%. but there's a lot of real world examples of scenarios where if i buy airplane tickets with my credit card, it's completely different than if i bought a physical good in the sore. so facebook could easily have a facebook credits plas form which is 30% for digital goods and have a much better regional rate down the road. >> what's the conversion rate? you talk about people liking on facebook and the traffic that comes in. but is there a conversion ra

facebook. as the company prepares to sell shares to the public, we examine what has become the facebook economy. all this week we will report on the website's impact from farm fields to state finances. what started in a college dorm room has grown to reach almost one billion people in a new form of media. it adds up to a huge business opportunity. darren gersh begins our series. >> reporter: you'd expect a company that busts myths and seeks out danger to like living on the cutting edge. which is why discovery communications is not just embracing social media, it is building facebook into its products. >> instead of just layering social on top of existing products, we're actually threading social into how products are being created, in our case entertainment. >> reporter: just look at "what not to wear", a tlc hit. >> we're very heavy on facebook because that's where our fans are. >> reporter: the makeover recipient in next month's season premiere was introduced on facebook in march. fans voted

now, facebook in my view is a real company. and i've been on your network before to talk about the fact that groupon i don't believe really is. >> yeah. you're saying groupon isn't. >> no. i don't think so. and i warned people before it went public that there were accounting issues, there were whatever and then three months later we have this interval where they suddenly say, oh, gee, our first quarter was no good. i don't expect any kind of problems like this with facebook. >> something like seven stocks in the nasdaq 100 make up something like half of the weight of it. this is going to exacerbate that, isn't it? >> well, they'll rebalance, don't you think? >> well, i don't know. look at apple right now at 18%. and they rebalanced on it some time last year. now you get into facebook immediately would be in the top ten if you looked at that. so there would be much more concentration. do you think, by the way, that any of the decline in apple over the past few days is in anticipation of facebook's entry into the 100 and that peo

in 2009 facebook made people public. pictures and names were accessible. it turned out there were critics of the iranian government who have friends in tehran or relatives. by just making their pictures public those people were beat up and arrested. so here you had a social network that had a tremendous impact financially, physically on people. they were like a wild west without any governing rules. i got involved, 2,205th anniversary of the u.s. constitution, trying to say what should be the constitution for social networks. >> are there other people thinking about this? is there an emerging consensus that there ought to be a set of governing rules and i would guess that would have to stress on borders? >> and that's a tough thing, although it's actually the u.s. that has the lowest level of protection. so if you're in europe you have a right to know what information companies have about you. a law student wrote to facebook and said, what information had collected on me. it turns out they sent him a cd-rom with 1500 pds of everything he ever posted and li

that's a cost to me and right now facebook makes $4 per person. i would gladly give them $4 a year or $10 a year, which is what they make on selling the data, to get it in a private protected way, and other web sites i go to, like i mentioned dictionary.com, they don't tell me that they're putting 233 tracking mechanisms on my computer. so, then we have this whole issue whether people read the terms of service. so, one game company, in their terms of service said, you give us your immortal soul, and 88% of people gave up their immortal soul so think got it -- i tried to download a free book and i had to agree to 42 pages at the apple store so i said, forget it. i don't have time to read all this. and we would never, never say, with other important rights, yes, a company can make you give it up, even to get a free thing. i'm sure people would give up their right to vote, right to have children, to get a free something, and we just don't do that. we don't make people make those bargains. >> oo well, we're out of time, about -- >> guest: i'm thrilled

facebook facebook facebook we know they've had a lot of privacy issues in the past and we call them out for it all the time and they're actually trying to do something new in this whole era of transparency. it's been one issue after another with those guys over the years to do with privacy the most recent involves your telephone number being handed over to developers of third party applications you may choose to use on facebook so last friday facebook last friday evening i should say facebook gave after developers access to your phone number and address if you decided to use an app on facebook. but some of the shady stuff their face because in the past now they're trying to do is create a little more transparency so they've expanded this feature called download your data. he's likely going to copy of what you shared on facebook in the past you could get a copy of your list of friends photos all post messages now you get all of your former user names e-mail addresses even all of your old friend requests for you can go back and never expected that request. i don't want to call you out but

people -- >> there are alternatives, myspace still -- >> facebook, but many people who go on facebook aren't politically engaged they want to share photos and keep in touch with their friends. i think you would spree -- >> especially now they're sending -- if you mess with someone on facebook it goes to cell phone. >> i think that he will get -- he could get a lot of press about this. there would be a small number who perhaps wouldn't be dropping him. but overall i don't think it will be 300 of his users will drop out or anything. >> you were going to say? >> just struck me that michelle obama as former first lady could be first female facebook board member. >> that would be interesting. you mean after he's out of office? >> that's what i thought you meant. we'll see. behind the headlines: immigration and public schools. the u.s. census estimates there are 322 languages spoken at home in the u.s. one in eight people living in the u.s. is a legal or illegal immigrant. millions of their children go to public school with little or no knowledge of english. "to the contrary" examines the i

i think with kweli i have a facebook fan page and then i have a personal facebook page and i use both of them for dodson's development to build leadership, to build an audience. the same thing applies with twitter. i know that it's recommended you should also show your personality when you tweet. i don't have a personality when i tweet. i essentially just talk about kweli and occasionally animate say something that has some degree of humor to it but i am very very conscious of the brand of kweli because i want to protect it. >> i just want to hop on and make two points. if you come away with anything, do with the average teenager does, have a personal and public profile on facebook. in other words, have your facebook profile, blocked, blocked down and only people who are actually her friends have access to it. then you can have another one that is public and says all the good stuff. so businesses, individuals should have two separate profiles. the other point, oh, the commercialization of social media is one of the other things that is dragging it down. i could be wrong, but i don't t

facebook is on the nasdaq. it was the biggest fish and the nasdaq happened to catch it and i don't think we can underestimate that. >> let's check on this. i'm talking about recent tech listings in the social media area. let's go back six or eight months. i'll crunch those numbers. >> they have gotten their numbers. when you look at groupon and zynga and now facebook, it's a huge deal for the nasdaq. let's not forget this comes on the heels as well of the new york stock exchange and the deutsch deal going through. it's not been a great time perhaps. >> one criticism that was picked up about the nasdaq was volatility. when you have a primarily electronic trading system, critics were saying, hey, the nyse is more of a human-based trading system, even with all of the high frequency trading. they will say, we'll limit the volatility. you look at the social ideas and they jump 100% on day one. one of the claims of the nyse is that they would limit the volatility. the nasdaq has not proven that there's increased vola

facebook facebook facebook you know they've had a lot of privacy issues in the past and we call them out for it all the time and and they're actually trying to do something new in this whole era of transparency. it's been one issue after another with those guys over the years to do with privacy the most recent involves your telephone number being handed over to developers of third party applications you may choose to use on facebook so last friday facebook last friday evening i should say baseball gave active elaters access to your phone number and address if you decided to use an app on facebook. but some of the shady stuff because democrats now are trying to do you is a little more transparency so they've expanded this recall download your data. basically you get a copy of what you shared on facebook in the past you could get a copy of your list of friends photos all post messages now you get all of your former user names email addresses even all of your old friend requests so you can go back and see what every request denied you. i don't want to call you out but i wonder what happ

and i think you may see a lot of apps built on facebook that are unique to facebook. and that may be the way a lot of people consume content. but it's slightly different from the notion of the app that you have on an ipad where you're often paid money for an app. >> so you think this it's hard to make people pay for them? >> i don't know. the financial times does. they charge for people. i don't know. i think that i wouldn't say that we're necessarily going to end up in an app world. microsoft and big companies think that's the direction we're going, but i don't know. >> i think the battle is the platform battle. it's not an app battle. apps are within the platforms. it used to be that the powerful platform was cable. and broadcasters and others had had to go through them. well increasingly if you think about it, facebook is a platform. youtube, google, amazon, they are all platforms. netflix is a platform. and these platform companies are competing and diminishing the power of cable. and increasingly, traditional media wants to be on that platform and what kind of mo

facebook facebook facebook we know they've had a lot of privacy issues in the past and we call them out for it all the time and they're actually trying to do something new in this whole area of transparency. it's been one issue after another with those guys over the years to do with privacy the most recent involves your telephone number being handed over to developers of third party applications you may choose to use on facebook so last friday facebook friday evening i should say facebook gave after developers access to your phone number and address if you decided to use an app on facebook. but some of the shady stuff it's because on the grass now what they're trying to do is a little more transparency so they've expanded this recall download your data. basically you get a copy of what you share on facebook in the past you could get a copy of your list of friends photos ball posts messages now that all of your former user names e-mail addresses even all of your old friend requests so you can go back and see whatever request. i don't want to call you out but i wonder what happens to all

is what you just said mean facebook wins? >> i think facebook has a big opportunity ahead of it. google -- >> become the next apple? >> facebook could be gigantic as a company. i'm bullish on facebook. >> rose: apple defines gigantic. >> now apple does, yeah. it's scary to think how big apple could become. it's amazing what apple has done. but i think when you look at the amount people use search engines is pretty flat. and you know, when i-- i have always been interested in why people share things. and when you look at-- but i also got very focused on google, how google works. partly that's how we got a lot of traffic at huffington post is understanding how google works and making content that would surface in google and rank highly in google. the problem with that -- >> and everybody else learned that later. >> and other people are trying to learn it. >> and huff post is good at it. the problem with that is you're thinking from the perspective how does an algorithm work, not from the perspective of how does a human behave? what i love about social is for the first time you can

his friends on facebook. how come washington doesn't seem to have a problem with this? the >> hi, live from america's news headquarters, i'm jamie colby. president obama's using his weekly radio and internet address to urge congress to maintain student loan interest rates and keep the cost of college stable. >> in america, hi education cannot be a luxury, it's an economic imperative that every family must be able to afford. >> and the president's remarks kicking up a week long campaign in states and appealing to the young voters and meanwhile, missouri senator roy blunt, delivering a g.o.p. response and blasting president obama for ignoring skyrocketing prices and raising taxes on millionaires. and one also faulting the president for opposing the keystone pipeline which would gary oil from canada to the texas gulf coast, a lot more coming your way in 30 minutes, i'll send you back now to cavuto on business. >> well, call it another case of selective outrage from our elected officials, citigroup shareholders g

dorothy organized this community meeting with facebook members on the panel. >> i'm not saying facebook is going to dramatically impact it. i can't get out already. the part i do want to think about, if they're going to bring in thousands of employees to the area, what is the housing stock in the area? would my neighbors right now be welcome to stay in their own community in several years? will we be subject to genification and other stuff? >> reporter: a spokes person told me they are working with local developers to provide housing on vacant land. >>> violence erupted again in syria, almost a week after a united nations-backed ceasefire. this is video from last thursday when the ceasefire was called for. today, an explosion killed six people. the united nations secretary general says the situation in syria is grave. but he says he still believes there is opportunity for progress. he's calling for the security council to approve a un observer mission staffed by 300 people. >>> a live look outside again from the golden gate bridge, we're continuing to see reduced visibility close to the

vacant land said that there are housing options for new facebook to please. >>pam: the groundbreaking for the new 49ers stadium in santa clara is set for thursday. here is a look at how the stadium could end up looking. >> the fate of the stick was sealed back and 2010. this space will be home to a retail facility that will also be open to hosting concerts'. the plan for the candlestick park area has stayed the same, but with a new stadium would have gone one now been home to around 4000 additional homes and a lot more open space. the area in blue represents five dozen square feet of office space. >> 60 minute delays right now at sf falls. their only able to land jets on one and run with. it is colder closer to the coastline. along the coastline we are starting to cool down. winds are starting to die down in some places. tomorrow, apache-dense fog. temperatures will stay fairly mild. >>pam: secret service members are under investigation and a prostitute scandal. interviews suggest that there were no drugs or drug paraphernalia found in the rooms. in music and

facebook goes public. they'll take more facebook shares. this is an important thing here. the idea that microsoft has been funding losses at bing, microsoft shareholders want to know what's the long-term plan. we'll see if this comes to fruition. clearly very interesting. if you could attend one of these meetings, this is what you would be told. this is the pitch on facebook that you're not going to hear. you'll hear it here. the more i know about you, the better i can serve you. the more i know about you, the more relevant and targeted ads can be. the better the ads are, the less they will feel like ads and they will feel like a service to you as the user. the more you click and buy, the better returns for advertisers. i understand that with return investor in capital for those on facebook. now i get it. higher the bid for facebook ads, the more money facebook makes. we could go through a lot of this. this was the breest we can't sh on tv. advice from zuckerberg. do what you have to do. it's very interest

mark zuckerberg of facebook and the ceo of instagram, both claim instagram will stay independent of facebook and it will not change. if this is fru, instagram -- true instagram users have nothing to worry about and expect instagram to get better. they will have resources from facebook to improve instagram. i think facebook will leave instagram alone for a while but then merge them. similar to google and youtube. not very independent anymore. gabe slate, kron 4 news. one of oakland's teams is considering a move. kron 4's grant lodes has details. >> reporter: the warriors could we headed to san francisco, there is a push for the warriors to build an arena long the water front near peers 30 and 32, south of the bay bridge. the warriors are exploring the possibility of setting up shop right there and this news comes a week after the giants announced plans to develop this mission bay area just south of at&t park, that you see there. the warriors were in talks with the giants about a basketball arena south of at&t park but looks like that is not happening. the warriors' lease expire in 2017. grant

we now have breaking news on facebook. facebook making a bik acquisition for a billion dollars. let's go to kayla tausche for the headlines. kayla. >> julia, we're just getting a press release coming out this moment saying facebook is going to pay $1 billion for cash and shares for instantgram. they just closed a recent round of fund raising in the last month. it's unclear what facebook was trying to pay last summer, but those talks fell apart and they were obviously not successful as we're getting this announcement now. they're paying cash in shares but the acquisition is supposed to close in the next 30 days meaning likely the shares they're getting are pre-ipo shares. that will be interesting to watch to see how that turns out for the recipients at instagram getting those, but a billion dollars in cash and shares to facebook, this is that vintage photo sharing application that a lot of facebook users use on top of their platform already. a very core business for them. i know you've also been covering this company closely. >> absolutely. i think with the ipo we all knew facebo

she used facebook to make a point. >> when you put everything on facebook, you have to realize that there is a consequence for your actions. ? her profile pick and her daughter's too, now reads, i do not know how to keep my mouth shut. the x finishes that sentence. followed by, i am no longer allowed on facebook or my phone. please ask why. i have to answer everyone that asks. >> i decided to do something that i knew would totally impact her. the next time she started with, she would think, i don't want my face all over facebook again with a red x over my mouth. >> denise accepts her methods might draw criticism. >> my 45. >> much like a father in north carolina did when he offered to shoot his daughter's laptop when he felt she was immature on facing into. as for ava, she said to facebook, i was mean to my mom and spoke disrespectful to her in front of my friends. it made me realize i didn't want my picture on facing into. my friends were asking me what happened and what i did. denise said she'll accept criticism for her creative discipline as long as her daughter learns a valuable lesso

is what you just said mean facebook wins? >> i think facebook has a big opportunity ahead of it. google -- >> become the next apple? >> facebook could be gigantic as a company. i'm bullish on facebook. >> se: aple defin gigantic. >> now apple does, yeah. it's scary to think how big apple could become. it's amazing what apple has done. but i think when you look at the amount people use search engines is pretty flat. and you know, when i-- i have always been interested in why people share things. and when you look at-- but i also got very focused on google, how google works. partly that's how we got a lot of traffic at huffington post is understanding how google works and making contenthat would surfacin gooe and rank highly in google. the problem with that -- >> and everybody else learned that later. >> and other people are trying to learn it. >> and huff post is good at it. the problem with that is you're thinking from the perspective how does an algorithm work, not from the perspective of how does a human behave? what i love about social is for the first time you can get a lot o

sure is that so much resentment easy these people are curious how many people are turning to facebook's timeline to share all kinds of experiences the moment others are concerned about the security and safety of this news. tonight on our t.v. if you notice your pockets feeling a little lighter this month that's probably because your twenty eleven tax bill is about to be due that's right it's time to time once again in the u.s. and we want to know what americans think about the current system. and users consider it a technology with infinite possibilities but many u.s. lawmakers see the internet as the next great terrorism threat and they're willing to do whatever it takes to keep america safe even if it means encroaching on your civil liberties in the process so is it really in our best interest for big brother to rain on the web question more. what we are seeing. what is not the drug cartels we're talking about these are armed civilian militia members patrolling the arizona border and here's the kicker lawmakers aren't only supporting it we want to fund it so is this a new era of borde

facebook's plans. this battle will continue long into the future. we saw facebook get some patents from microsoft. we know they got those for battle. >> jon, thank you very much. sotherby's is set to auction off one of the most iconic images in modern art. "the scream" by edvard munch, who's who of wall street collectors and billionaires have been swinging by sotherby's to check out the goods. in a cnbc "power lunch" broadcast first peek of the paintings. here to tell us more about it is simon from sotherby's. welcome to "power lunch." pleasure to see you again. >> hi, sue. hi, tyler. >> good to see you again. one of the key questions we all had in the newsroom is who do you think is going to buy this? do you think it will be an individual? obviously one of great net worth. or do you think that a museum might want to purchase this? it seems it would be quite a gem for a number of the new museums sprouting up in various parts of the world. >> that's the question, isn't it? i think it's one or the other.

>> i am not friends with him on facebook. but based on his retraction or explanation, it seems as though he was sort of poking the issue. he was suggesting that he would not do this if the president or ordered it. why he would say that is unclear unless he was trying to imply that the president was making illegal orders. if that's the case, then i think this is not somebody we want fighting for us. but on the other hand, it seems a little drastic. i think he served nine years with the armed forces. >> i think -- i don't think they should discharge him. i understand he is violating the rules. >> should they make him peel potatoes for a couple hours? >> read beatle bailey comics? >> that's not punishment. that is delightful. >> when i was growing up, those were the hottest girls in beatle bailey, the secretary. you posted last week on facebook i was a giant pooh. i didn't fire you. >> i meant it in a lovely, win knee the pooh-type of manner. although winny the pooh is bigger than you are. this guy is not going to lose his job.

>> i am not friends with him on facebook. but based on his retraction or explanation, it seems as though he was sort of poking the issue. he was suggesting that he would not do this if the president or ordered it. why he would say that is unclear unless he was trying to imply that the president was making illegal orders. if that's the case, then i think this is not somebody we want fighting for us. but on the other hand, it seems a little drastic. i think he served nine years with the armed forces. >> i think -- i don't think they should discharge him. i understand he is violating the rules. >> should they make him peel potatoes for a couple hours? >> read beatle bailey comics? >> that's not punishment. that is delightful. >> when i wa growing up, those were the hottest girls in beatle bailey, the secretary. you posted last week on facebook i was a giant pooh. i didn't fire you. >> i meant it in a lovely, win knee the pooh-type of manner. although winny the pooh is bigger than you are. this guy is not going to lose his job. o

that's a problem that facebook really needs to solve because as people move to mobile, facebook makes less money off of them. so he's getting one of the top mobile thinkers in tech right now joining his team. that's what they need. >> jon, you talk about parabolic growth as far as user base. but i'm interested in your opinion on the more users take photos via instagram, the fewer users of facebook are using the facebook proprietary photo sharing platform. they've invested in higher quality photos. was it just they weren't working and people were leaving facebook to use instagram where you can like pictures and share them on a separate platform? >> you know, i might liken this to a mainstream car company buying a fine stream company. in zuckerberg's wall post he noted they're willing to take some of the features instagram has and done well at and import them into facebook's products leaving instagram also as a stand alone product. i think that's a key of what they're doing here. they're getting smarter from a mobile specialist. >> and think about how many people have been scratching an

facebook is a brand as well. both of them wanted it. >> and in terms of what the exchange at the end of the day gets from having a company like facebook list, what does nasdaq get here, really? >> well, you know, at first on an absolute basis it isn't as big as what you would expect from the numbers. they get listing fees, they get the one-time fee to list on the exchange and annual fees. you know, it's per year. so that's, it can amount to 500,000 for the nyse. it's less for nasdaq. but i think you hit -- the important thing isn't just the numbers here. it's sort of the momentum and the brand and winning the top ipo for a number of years. >> sure. rich, great to talk with you. thanks so much. >> great to see you. >> we appreciate it. >>> another startling fact about facebook, based on cnbc calculations, facebook could find itself in the top ten companies in the nasdaq 100. at $109 billion, facebook's market value would fall just below cisco. amazon.com, comcast, news corp., ebay, and even starbucks. we'll keep a

then facebook arrived offering double. in silicon valley, that may still be a bargain. >> instagram was well on its way to go from 50 million users to 100 million users. nothing was going to stop it. people loved the service. that kind of love for a product is rare. >> reporter: but facebook's big buy is making some instagram users nervous. this woman runs butcher shop creative, a san francisco marketing agency. >> 544 photos. >> reporter: he has hundreds of photos on instagram but says he is cautious about what he puts on facebook. >> their policy is we own everything. you put up on facebook. we own it. we can do whatever we want with it. your data is not quite your own. >> reporter: worries about how much information facebook gathers and what it does with it has led some users to athlete their accounts. but right now this man is sticking with instagram for now. after all he says it's free. >> they've really created a service without thinking of a revenue model which is pretty amazing that it's gotten where it has. >> rep