The Security and Exchange Commission has announced that it is okay for publicly traded companies to share financial information on their personal Twitter or Facebook pages. This announcement comes after the CEO of Netflix, Reed Hasting's made a corporate announcement on his personal Facebook page last year stating that Netflix had streamed more than 1 billion hours of Internet video. After investigation the SEC concluded that companies must inform their investors on where to find said information as one would not usually think to look at a personal Facebook page for important information. Reed Hasting's however did not inform his investors, but because the rules were up in the air Netflix was not penalized by the SEC. Personal Facebook pages are usually on private settings that limit what certain people can and cannot see, so in order for companies to make an announcement on their personal pages they must make sure first their investors have access to view it.
This is a major milestone for social media which has become more and more recognizable as a legitimate source for sharing information. Social media has opened the door for small investors to obtain important company information as not all investors attend the big corporate meetings and events.
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