Google settles Buzz privacy lawsuit

Google has settled a lawsuit alleging privacy violations in connection with its Buzz social networking service.

Launched in February, Buzz initially used an individual's email contacts from Google Gmail to build a social network of Buzz contacts that the rest of the world could see. Google acted quickly to change the settings so that contacts were kept private by default.

To settle the proposed class action brought by a Gmail user, Google will set aside $8.5 million for attorneys fees and donations to organizations focused on Internet privacy. In addition, "the settlement requires that Google undertake wider public education about the privacy aspects of Buzz."