Most people have no idea what modern image recognition and data mining techniques can do, and many don't understand what they are really agreeing to when they let some on-line service scan their address book.
I've never quite figured out how compiling shadow profiles doesn't violate all kinds of data protection laws in at least much of Europe, but our regulators seem to be gunning for Google at the moment rather than Facebook.
But I can't see a situation in which Facebook turning on a mike to record conversations is not a huge violation of privacy.
Do they do that?
Do they do that?
FYI, this is mentioned in the article. It also linked to this article on that specific issue:
http://www.forbes.com/sites/kashmirhill/2014/05/22/facebook-...
Short version: It's not as simple as "they record all your conversations", but yes, they can and do turn on your phone's mic.