The move is in response to business pressure and longtime user concerns that the site's privacy settings are "too complicated," the New York Times reports.
New Facebook users will no longer have the option to start their posts off with a public setting as the site will immediately set them up with a setting so their posts will only be seen by friends.
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The move was designed by Facebook to ease user concerns regarding their privacy settings in the hopes members will stay on the site, the Wall Street Journal reports.
TheStreet Ratings team rates FACEBOOK INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate FACEBOOK INC (FB) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and impressive record of earnings per share growth. However, as a counter to these strengths, we find that the stock itself is trading at a premium valuation."