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Facebook's (NASDAQ: FB) stock started trading for $38 a share, giving the company around $16 billion on opening day. Here's why you should care:

1. It Will Affect Your Privacy

Facebook is an enormously popular website, but how will it translate that popularity into money for investors? The social media giant's biggest asset is its wide collection of personal information, and though the company probably isn't going to risk alienating its user base by doing anything too extreme, it is likely to try to find a way to dip into that resource to increase profits.

As Rep. Ed Markey (D., Mass.) explained, "To respond to the demands of profit-hungry shareholders, Facebook will be under increasing pressure to squeeze revenue from its most valuable asset -- the vast treasure trove of personal information it's collected on users."

But don't worry too much -- any attempts to capitalize on personal information will meet intense scrutiny from lawmakers and consumer groups.

2. It Means More Ads

One of the perceived weaknesses of Facebook's stock stems from the company's inability to monetize its mobile platform. Facebook has yet to find a way to deliver ads to its mobile users, but that is likely to change due to pressure from investors.

Unlike the privacy issue, where any major attempts to plumb the company's data stockpile will almost certainly be met by consumer outrage and legal scrutiny, adding ads to the site is unquestionably legal and probably not going to deter users from logging in, as long as Facebook doesn't adopt a plethora of obnoxious pop-ups.

But even if you aren't bombarded by flashing pop-ups, this IPO will usher forward an era where Facebook is more ad-driven than ever before.

3. It Foreshadows Facebook's Entry Into the Paid-App Game

Besides amping up its ad revenue and possibly exploiting its data trove, Facebook may look to boost profits by introducing more opportunities for users to purchase apps and app ad-ons through a mobile payment system.

According to Bloomberg, Facebook's only source of non-ad revenue comes from people using "Facebook Credits" to buy stuff on FarmVille and other Zynga games. Only a small percentage of users make these purchases, but they still account for 18 percent of Facebook's revenue, suggesting the company has room to expand these services.

If Facebook can get a convenient mobile payment system up-and-running, similar to iTunes or the App Store, it could considerably boost profits.

4. You'll Get a Raw Deal Buying Individual Shares

Wait, you mean you aren't a millionaire trader, but you still want to buy into Facebook? People lining up for individual shares will likely get the short end of the stick, as Facebook is allocating its stocks primarily to "prestige clients," or investment institutions. People who are thinking about dipping their toe in the market because they're fans of Facebook may have to pay more for individual shares, and they will have a hard time getting hold of a substantial amount of the stock.

As stock market analyst Mark Wolff explains, "The IPO allocation is an elite lottery system, where people who don't need to win are invited to play." Meaning: if you want to strike it rich through Facebook, you'll have a hard time getting enough of the stock to do so.

5. You Just Might Make a Fortune... or Lose It All

If you're in a position to buy the stock through a fund, like The Global X Social Media Fund, you may be able to get a bigger chunk than you would if you tried to buy it on your own. That will only make you a fortune if the stock ascends, of course.

You can also tamp down your Facebook-fervor and wait it out, assessing how the stock does over time (and possibly saving money so you can afford a larger purchase) before throwing down for a portion. Then again, tech stocks are notoriously volatile. Will Facebook still be around in five years? Who knows.

5 Reasons Facebook's IPO Matters to You originally appeared at Mobiledia on Fri May 18, 2012 1:54 pm.

The theft of about 780,000 online medical records by unknown hackers from state computers in Utah is sounding alarm bells about the protections of sensitive data.

Last month, hackers stole the data of hundreds of thousands of Medicaid recipients and participants from Utah's Children's Health Insurance Program, including the Social Security numbers of about 280,000 of them. Child records are specifically valuable to criminals because their lack of a credit report or bank account makes it difficult to monitor them for identity theft, leaving their data open for exploitation for years before it is uncovered.

Utah's Department of Health said it was cooperating with the F.B.I. on its breach and working to notify victims, suggesting that Utah's Medicaid and Children's Health Insurance Plan recipients, as well as anyone whose health-care provider might have submitted information to the state for Medicaid coverage within the last four months, monitor their credit and bank accounts.

Utah Gov. Gary Herbert this week called the compromise a "completely unacceptable breach of trust," offered an apology and announced a "comprehensive" response to the massive data breach, including the resignation of Stephen Fletcher, director of the state's Department of Technology Services. The state also offered victims free credit monitoring.

These kinds of patient data breaches are surging, underscoring the need for greater privacy protection. According to the Ponemon Institute, data hacks in healthcare rose more than 30 percent this year, with 96 percent of healthcare organizations reporting at least one breach involving patient information over the past two years.

As part of a 2009 stimulus bill, the U.S. government pays incentives to doctors and hospitals that adopt electronic health records. As a result, more than half of office-based physicians now use digitized records and the number is steadily growing, according to the Centers for Disease Control and Prevention.

Electronic medical records are a treasure trove of personal information, as the Utah breach reflects, including names, Social Security number, birth date, insurance information and personal health details, making them a prime target for hacking and theft.

Utah officials report hackers were able to break into a Medicaid eligibility server, used to validate claims of retirees and others, in part because the security tools on the computer server were not installed properly. Also, much of the vulnerable data should have been deleted from the server once the claim was validated, but they were retained as records.

Some of the exposed data was indecipherable, or disconnected from a name, making it hard to assess the full damage. Investigators have traced the hackers' IP address to Eastern Europe, but haven't identified any suspects.

Hospitals and physicians are likely to search for better ways to bridge the gap between security practices and digitized data. More than 80 percent of physicians now use a smartphone, according to Manhattan Research, to do more patient-focused activities, such as communicating with patients via text messages, checking EKG or other test results and sending patient alerts and reminders, adding to the complexity of the protection issue.

Hospitals, consulting firms, insurers and other big organizations that handle digitized, sensitive patient information expect to increase privacy protection, providing an emerging market for enterprise-class, healthcare-specific device and records security amid growing consumer awareness.

"The people of Utah rightly believe that their government will protect them, their families and their personal data," Herbert said. "As a state government, we failed to honor that commitment. For that, as your governor and as a Utah [citizen], I am deeply sorry."

Credit monitoring and commitment to improve are two consolations for those affected by the Utah breach, but will hardly be enough as medical records zoom towards digitization and hackers hone their skills.

Is Your Medical Data Safe? originally appeared at Mobiledia on Fri May 18, 2012 11:49 am.

Eating disorders like anorexia and bulimia are notoriously difficult to treat, with technology's speed and reach both complicating treatment and offering solutions.

A Difficult Problem, Complicated by the Internet

Eating disorders are among the most commonly diagnosed mental illnesses, with an estimated 24 million Americans suffering from anorexia, bulimia and other problematic eating behavior. Treatment of these illnesses can be particularly difficult, especially since the disorders feature a complex intersection of psychological, social and genetic factors.

More people die young from eating disorders than any other mental illness, and the problem is not getting better, especially since those afflicted often turn to online communities to fuel their destructive behavior.

Eating disorders predate modern technology, but the communication revolution sparked by the rapid growth of Internet use and mobile technology have profoundly changed the way people experience and come to grips with this self-harming behavior.

A number of innovative apps and programs using smartphone technology and social media to offer support systems for people struggling with eating disorders, but technology continues to serve as a platform for triggering images, videos, conversations and impossible comparisons reinforcing the illness, and people dealing with eating disorders may want to tread carefully when surfing the Web and using their smartphones.

Problem Sites Create Toxic Community

Sites and forums devoted to encouraging eating disorders have a long history on the Internet, with today's sufferers taking advantage of inventions like Tumblr, Facebook and Pinterest to fuel their destructive behavior.

Even back when most people used AOL and Compuserve dial-up service, communities that egged on harmful behavior flourished. People with eating disorders used the Internet to validate their behavior and form quasi-support groups that actually approved of destructive behavior.

These "pro-ana" (pro-anorexia) and "pro-mia" (pro-bulimia) groups posted "thinspiration" or "thinspo" photos, videos and tips, sometimes competing against each other to achieve the ideal body weight. The practice so alarmed French lawmakers that in 2008 they outlawed posting "thinspo" images and comments trying to curb the growing movement.

In 2002, the New York Times ran an article highlighting pro-eating disorder online communities, and figured the number of community members ranged in the thousands. People with eating disorders often felt pressure from friends and families to work toward changing their anorexic and bulimic behavior, but online, they found a community that shared and celebrated their unhealthy pursuits.

Now, the numbers have likely grown considerably. The rise of social media sites like Facebook exacerbates the problem, because people struggling with eating disorders have a constant source of images to compare themselves with, and the communities are thriving. Facebook has since prohibited pro-ana and thinspiration forums, but people still report feeling lowered self-esteem after visiting the site because of the ample opportunities to compare themselves to others.

Sites like Tumblr and Instagram, which are often visually-focused and allow more anonymity than Facebook, receive postings of dangerous images, often hash tagged with #thinspo. British fashion plate Alexa Chung recently came under fire for posting a photo to her personal Instagram account that some users thought glamorized anorexia, though the TV personality denied the claims. The incident illustrates how pictures of thin women, even those put online for benevolent reasons, are sometimes hijacked and used to promote unhealthy body images.

Following the onslaught of media attention, both Tumblr and Instagram recently changed their policies to try to curb this behavior, but it is unlikely it will die out completely, since pro-anorexia bloggers have already migrated to the image-based social media site du jour, Pinterest.

Though Pinterest took action and changed its policy as well, problematic images continue to circulate, there and across the web.

Twitter is another modern bastion for pro-eating disordered groups, and accounts like "Thinspo Quotes" and "Thinspiration" have thousands of followers, often checking the feed on their mobile phones for encouragement on the go.

How It's Helping

Despite the parasitic pro-ana community's wide reach, mobile technology and the Internet do not need to be the bane of an eating disorder patient's existence. Just as the Web allows problematic communities to flourish, it also provides a wealth of forums for people looking for help.

There are smartphone apps designed to help people find treatment, including a popular entry EDReferral.com, started by a recovered patient, Christine Hartline. She explained the benefits of technology for eating disorders, saying, "This is the resource I wish I had when I was struggling with an eating disorder -- years ago there was no place to find and compare treatment options."

Another helpful app, Recovery Record, encourages people with eating disorders to eat healthy amounts of food and set positive daily goals for themselves. Started by PhD student Jenna Tregarthen, the app recently received acclaim from The Butterfly Foundation, a major charity, for its ability to connect with young people.

Beyond phone apps, genuine support groups are available at all hours on the Internet, providing people who need to talk to someone immediately a place to go. The anonymity provided by computer-based support groups appeals to many eating disorder patients, who associate their conditions with feelings of shame.

No Easy Solution

People struggling with eating disorders suffer from being cut off from their social circles, so limiting their Internet use is unwise, although recognizing the potential dangers isn't. Anorexics, bulimics, and people with other eating disorders may want to set up blocks on "thinspo" content and make a conscious effort to take advantage of the support groups and apps available due to new technology.

Also, as more therapists wisely incorporate the positive aspects of Internet and mobile phone use into their therapies, those who suffer have more online options for help.

The Internet isn't inherently good or bad, and although it allows harmful groups space to flourish, it also gives helpful communities and treatment services an opportunity to reach out to people in need. The problem is, people who struggle with disordered eating may not want to cure it, and until they decide to seek positive help, the astounding, pernicious presence of the pro-eating disorder community on social networking sites may offer too potent a temptation.

There is no easy answer or quick fix for eating disorders, but a service providing a way to block pro-disordered content would prove invaluable to people struggling with the problem. Until then, technology will remain a double-edged sword for people with eating disorders.

Eating Disorders and Technology: The Good, the Bad and the Ugly originally appeared at Mobiledia on Fri May 18, 2012 10:09 am.

New media is giving cable stations problems, as viewers flee to online alternatives, but ESPN's mobile apps and online presence offer a model for traditional media to transition into the future.

Media-Mind is our column charting how technology's opportunities and challenges transform traditional media and entertainment, for better or for worse.

The worldwide sports leader has several cable networks, including ESPN, ESPN2 and ESPNU, each of which is viewed via the company's comprehensive mobile app, Watch ESPN. The app is available for iOS and Android and provides access to popular shows like "SportsCenter," "Pardon the Interruption" and "Mike and Mike in the Morning."

In addition to giving viewers the opportunity to watch ESPN wherever they go, the app is available for free to customers with Bright House Networks, Comcast, Time Warner Cable and Verizon FiOS TV as an extension of their cable subscription.

Broadcasters like NBC, CBS and FOX, along with pay cable stations, are losing ratings as customers look to Hulu and Netflix to watch their favorite shows on demand. The loss of live viewers diminishes the stations' worth to cable providers and hurts advertising revenue, something ESPN's strategy is helping it avoid.

ESPN's decision to offer its own app rather than license its product to other companies allows the network to control the way it redistributes its content. Watch ESPN puts all the company's broadcast content in one place, making it the best option for viewers who want to watch the station's programming on-the-go. In addition, the station's partnership with cable companies make sure it is still valuable to providers at the same time, serving its customer better.

One of the only flaws the Watch ESPN app has is it's only available to subscribers of specific cable providers. For example, a New York viewer who has Cablevision as their provider does not have access to the Watch ESPN app. However, as ESPN continues to work out deals with remaining cable providers, the app will become even more of an asset to the company as it attempts to reach viewers all over the world.

There is even an alternative for customers who aren't somewhere they can watch ESPN. The company's new ESPN Radio app allows customers to stream more than 30 of its radio stations across the company. Users can download the app for a one-time fee of $5 and stream unlimited for as long as their data plan will allow, and they'll have access to podcasts featuring commentary from the station's analysts and reporters.

ESPN Gets It

Any time new media arises, the automatic reaction of content providers seems to be to stick with traditional methods for as long as possible. However, by embracing mobile devices' ability to carry its product beyond the TV, ESPN is blazing a trail to increase its audience and reach markets it may never would have otherwise.

ESPN specializes in live programming, the one type of show that analysts say is immune to DVR and capable of sustaining ratings. However, the company still went out of its way to create new ways for its fans to view its content and its future-focused emphasis is paying dividends. The network adopted a philosophy that viewers should be able to watch ESPN on "the best available screen," and its digital portfolio has added value to its affiliates, its rights holders and advertisers.

ESPN's model for offering content digitally may not work for other cable stations, but the company's success suggests that embracing new media is a good thing, if done correctly.

Media-Mind: How ESPN Gets It Right originally appeared at Mobiledia on Thu May 17, 2012 2:58 pm.

Scientists are helping paralyzed people move objects with their minds, suggesting people with physical disabilities may have sophisticated tools at their disposal soon.

Brown University researchers successfully completed a trial with two tetraplegic patients, people who have no control over their limbs. As part of their "BrainGate2" study, the researchers developed a neural interface powerful enough to translate users' thoughts to a robotic arm machine, which can complete tasks from commands given by thought alone.

The neural interfaces work through tiny devices implanted in the users' brain, requiring surgery, but the promise of the robotic arm is immense -- people who are permanently paralyzed can regain the ability to feed themselves, reach for things, and do a number of activities previously out-of-bounds.

The scientists are working to improve the accuracy and speed of the robotic arm, so users can feel confident and empowered while completing tasks with the device, which isn't the only remarkable innovation science is making to empower paralyzed people.

A few weeks ago, a paralyzed woman completed the London Marathon using the ReWalk, a bionic suit that allows people with use of their arms to control their legs. Although quadriplegic people cannot use it, paraplegic people could reap enormous benefits from the device, as they could walk around without a wheelchair.

The ReWalk, priced at over $69,000, is still prohibitively expensive for most people, and although the BrainGate apparatus is still in clinical trials, it will likely come with a hefty price tag if it becomes available for commercial use. Innovations like eye tracking may help paralyzed people use devices at a more affordable price, but eye tracking does not allow them the precious movement offered by the ReWalk and Brown University's robot.

Scientists are making swift progress in technological advances for those with physical challenges, indicating future generations of people with physical disabilities will regain significant control of their bodies. At the same time, the fact that nobody is close to developing affordable innovations suggests the day when these remarkable products are available for everyday people with disabilities is still in the distant future.

How Mind-Controlled Robots Help Physically Disabled originally appeared at Mobiledia on Thu May 17, 2012 11:06 am.