I don't think that's true at at all. The problem this article brings up isn't "with Facebook" as much as it's with the fact that Facebook doesn't make it easier to delineate private items from public items. Which, imho, is one of the biggest un-talked about issues our society faces.

Facebook is modeled after a very childish model of "I'll just share everything with the world". But now you have everyone from future mates to HR departments checking people's profiles and under that scrutiny the current model doesn't stand up well.

You want to invent a Facebook killer all you need to do is figure out a way for people to share everything they do on Facebook while only giving select "friends" access on an item by item basis.