There is also the thorny question of how Facebook could comply with the Children's Online Privacy Protection Act (COPPA) in America, which was designed to protect children under 13 as they use the internet.

ECONOMIST: Small children are a big headache for the social network

The COPPA Rule was mandated when Congress passed the Children's Online Privacy Protection Act of 1998.

ENGADGET: FTC introduces changes to Children's Online Privacy Protection Act, parental permission now required to collect information

The FTC has imposed steep fines on companies that have violated the current law, the 1998 Children's Online Privacy Protection Act.

MSN: Software industry braces for new phone apps rules