> The reality is that you are handing your information over to another entity, and you are doing so willingly.

The perception is that when you gave that information over to the entity it will stick with the privacy rules you had setup at the time. In this case, Facebook's new systems are ignoring those privacy settings and making things public that were previously set to be private. At the very least, they are adding new features that give new views into your data that make your existing data public.