The biggest Facebook blunder so far?

A few days ago Facebook founder Mark Zuckerberg was interviewed by TechCrunch founder Michael Arrington, and what he had to say left me feeling a little bit like he was trying to pull the wool over my eyes.

Essentially, when asked about Facebook's changes in its privacy policies (you, know, when Facebook asked you to confirm your privacy settings last month, and you almost clicked ok before doing a double-take and realising everything was set to no privacy by default?!), they responded that they were merely updating their system to reflect the current social norms.

"People have really gotten comfortable not only sharing more information and different kinds, but more openly and with more people...We view it as our role in the system to constantly be innovating and be updating what our system is to reflect what the current social norms are," said Zuckerberg.

Hmmm....Right, so if I understood that correctly, Facebook assumed that privacy doesn't matter? That the foundation of the success of social media (the ability to choose who you connect with, and what information (millions of) people you don't know, or aren't connected to can see) was no longer important?

Rubbish.Yes, we share more information of all different types with a wider range of people than we did 5 years ago, but privacy still matters. And will always matter.

It's pretty convenient that this argument comes at a time where it would be mighty handy to have more information about users when there are more and more advertisers using social media as an advertising channel isn't it?

Maybe I'm outdated. Is this a Gen Z thing I can't wrap my head around? What are your thoughts?