Facebook proposes privacy policy changes, which may tip next moves

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Facebook wants to help consumers understand the arrays of ways it tracks its users' locations and payment information.

Facebook Inc. is introducing updates to its privacy policy that shed more light on the ways the social network might use its users' personal information to sell more products and advertisements.

The proposed changes specify that Facebook may track the locations of its mobile users through GPS, Bluetooth and WiFi networks, along with payment information and contact detail for purchases processed through the company.

As Re/code notes, the updates may tip Facebook's impending move toward location-based ads and a payments system through its site.

Facebook also launched "Privacy Basics," a new tool that aims to help people understand the array of terms they must agree to in order to use the social networking service, according to the Wall Street Journal: The tutorial provides instruction on how users can manage information on the social network, including control over other users' abilities to post comments and "likes."

"Our goal is to make the information about Facebook as clear as possible," said Erin Egan, the chief privacy officer of Facebook, in a statement to the Journal. "Our hope is that it won't take long for people to read through this and really get it."

Facebook faced pressure in recent years to disclose more detail on the ways it uses data gathered from users, the Journal said. In 2011, the social network reached a deal with the Federal Trade Commission, requiring the company to ask users for permission to change its methods of data collection and management.

Facebook since moved to educate privacy advocates and users about its policies, according to the Journal. The Menlo Park company in June started letting users opt out of ads that target them according to their browsing habits outside the social network.

The social network is also partnering with payments startup Stripe Inc. to build a "buy" button for consumers.