NEW YORK (TheStreet) --Facebook's (FB) fake news problem is the polarizing topic responsible for you clicking on an article with a catchy headline, only to be left uninformed and possibly lied to. The issue illustrates a broader problem regarding the social media giant's platform.
"I think a big challenge Facebook faces is that the underlying principle it uses to run its algorithms, is that your friends are the best source of information," Founding partner of the venture capital firm Elevation Partners Roger McNamee said on CNBC's "Squawk Alley" Monday.
This model has become the catalyst for reaffirming people's beliefs just because their news feed is filled with posts reiterating their views.
"That would be true even if your point of view is about something demonstrably false," McNamee added.
Consequently, Facebook has opened the door to an influx of misinformation, flooding users' timelines based on the premise that they agree with the content.
"[Facebook] is reinforcing the enclaves of common views and then making those views more extreme by essentially filtering out everything that didn't conform to your friend's point of view," McNamee explained.
"That's a fundamental problem much bigger than fake news," he cautioned.
However, Facebook has not stood idly by. CEO Mark Zuckerberg had addressed the issues of false news on the site and is taking steps to monitor content further.
"But, even if you tag all the miss-information you can't get away from, the principle that Facebook's economic model is built around re-enforcing people's biases," McNamee said.