I disagree. This was a carefully worded response. Notice "commit to you that we will be doing more to answer your questions, fix any mistakes, and eliminate the confusion. As we review your feedback and stories in the press, we’re going to modify specific parts of the terms to make it more clear what will happen with your photos." They expected this.

It's a classic move from the Facebook playbook. Push out a far-reaching privacy policy or feature update. Release a message or press release saying that "we're listening". Make token changes and say "we've listened and made changes". And just in case people start to sue, vigorously lobby and donate to government officials to keep the regulatory heat off their backs.

They are trying to get away with as much as they can. These stupid companies are going to be the reason why 10 years from now the Internet is going to be a morass of government regulation.

Don't work for or support companies that act like this. Shame on them. Period.

I wouldn't be surprised if at some point soon you won't be able to register a domain name or start an Internet company without taking a licensing exam.