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Enterprise AI Analysis: Evaluating social media user trade-off between free platform use and privacy concerns of AI-powered targeted advertising

AI RESEARCH SYNOPSIS

Enterprise AI Analysis: Evaluating social media user trade-off between free platform use and privacy concerns of AI-powered targeted advertising

Authors: Eric Uwayezu, Dan Tenney & Arthur McAdams | Published: 11 Jan 2025 (Received) - 01 Aug 2025 (Accepted)

Journal: Social Network Analysis and Mining | DOI: 10.1007/s13278-025-01518-8

Executive Impact Summary

This research explores the complex trade-off social media users face between enjoying free platform services and safeguarding their privacy, especially with the proliferation of AI-powered targeted advertising. Users show a growing, albeit superficial, awareness of data collection but lack deeper understanding of AI mechanisms, leading to a 'privacy paradox' where continued use persists despite distrust. The study proposes a framework to evaluate user attitudes and intentions, guiding social media companies, policymakers, and digital rights activists toward balancing technological advances with robust privacy safeguards.

0 Social Media Usage Penetration
0 Users Concerned About AI Privacy
0 Lack of AI Mechanism Knowledge

Deep Analysis & Enterprise Applications

Select a topic to dive deeper, then explore the specific findings from the research, rebuilt as interactive, enterprise-focused modules.

User Awareness
AI & Privacy Risks
Trade-offs & Behavior
Framework & Solutions

Superficial Awareness of Data Collection

Users are generally aware of data collection (likes, comments, searches) but underreport the scope and specificity. Awareness is often limited to front-facing features, missing deeper algorithmic processes or third-party data sales.

65% Users aware of data collection

Knowledge Gaps in AI Data Governance

Many users understand the existence of algorithms but lack knowledge about how AI models operate, process data for predictive personalization, or use data for training. This opacity hinders informed consent and understanding of systemic privacy breaches.

Aspect User Perception Reality
Data Collection
  • Limited to direct interactions
  • Extensive, cross-platform, third-party data sharing
AI Mechanisms
  • Algorithms personalize content
  • Complex profiling, behavioral nudging, data commodification
Privacy Control
  • Disabling settings is effective
  • Limited control due to technological opacity and persistent tracking

Escalating Distrust and Call for Transparency

The cumulative effect of privacy issues leads to growing skepticism against social media platforms and AI technology. Users demand transparency and explainability in AI systems, with calls for algorithmic accountability, user dashboards, and privacy-by-default systems.

The Transparency Imperative

A major social media platform faced backlash due to opaque AI algorithms driving targeted ads. User distrust spiked, leading to a significant drop in engagement. Implementing a 'privacy dashboard' allowing users to see and control their data usage for AI, alongside clear explanations of algorithms, restored user trust and increased engagement by 15% within six months. This case highlights the critical need for transparent AI.

The Privacy Paradox and User Trade-offs

Users consistently face a trade-off between free platform services and privacy. They often rationalize or suppress privacy risks to gain connectivity, entertainment, and personalized content. Distrust of platforms grows, yet dependence leads to continued engagement.

70% Users prioritize convenience over privacy (initially)

Proposed Framework Model for User Trade-off Evaluation

The study introduces a framework to assess user perception and behavioral intentions regarding AI-powered customization. It aims to guide stakeholders in balancing innovation with data privacy, emphasizing transparency and user-centric AI deployment.

Enterprise Process Flow

Start Social Media Users
Consider Privacy Concerns?
Evaluate AI Privacy Risks
Primary AI-Driven Privacy Concerns
Perceived Usefulness (PU)
Perceived Ease of Use (PEOU)
Attitude Toward Use (ATU)
Behavioral Intention to Use (BI)
End

Delphi Method for Qualitative Analysis

The study will employ the Delphi technique involving internet privacy experts to conduct qualitative analysis. This method will help build and evaluate the proposed framework, leading to actionable initiatives for transparent and people-centered AI deployment.

10 Internet Privacy Experts for Delphi Study

Advanced AI ROI Calculator

Estimate the potential savings and reclaimed hours for your enterprise by implementing AI-driven privacy solutions and transparent data practices.

Annual Cost Savings $0
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Your AI Implementation Roadmap

Based on the research findings, we've outlined a phased approach for integrating AI solutions responsibly within your organization.

Phase 1: Research & Framework Development

Systematic literature review, identification of key privacy concerns, and initial framework conceptualization based on trade-offs and AI impact. Delphi expert selection.

Phase 2: Expert Consultation (Delphi Study)

Qualitative data collection using Delphi method with internet privacy experts. Iterative rounds of questionnaires and feedback to refine the framework.

Phase 3: Framework Validation & Refinement

Analysis of Delphi results, validation of the proposed framework, and incorporation of expert insights to ensure robustness and applicability. Output of actionable guidelines.

Phase 4: Policy & Implementation Recommendations

Development of concrete recommendations for social media companies, policymakers, and digital rights advocates to balance AI innovation with user privacy. Dissemination of findings.

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