It needs to stop. Now!
This isn't just a problem on Facebook, however. Almost every week I come across the very same thing on newspaper sites. These newspapers will take a video they have found on YouTube, upload it to their own CMS video systems, add their own ads to it, and the credit the whole thing "Source: YouTube".
It's pure and simple theft.
We all have a responsibility to help put an end to this, and speaking out against it is one way to do that.
BTW: For one thing, I do not understand why it is even remotely legal for Facebook to keep any of the money they are earning from views on stolen content. Although, the same could be said on every other channel.
Why is it that Facebook can just keep all their juicy ad income? Should they not be forced to pay all of that to the creators of the video? Sure, Facebook wasn't the one uploading the stolen video, but they are the one earning all the money.
One simple way to fight this problem is to demand that, in the case where they have become aware of the use of illegal copyrighted material, all the ad income must go directly to the copyright owner.
It won't fix the problem, of course, but it would make the damage caused less severe. On YouTube we actually have that very concept (although it is often used for all the wrong things, which is another problem for another day).
Remember, when you take a video, you are not just stealing the traffic and the income for the creator. You are also stealing the connection the creator would have had with the people who would have watched it. That connection, especially for individual content creators on YouTube, is as important as the money. It is what allows them to build their channels and turn a small idea into a big success.
So... let's all do what we can to stop freebooting.
And while we are on the topic, check out Smarter Every Day. It's one of my favorite YouTube channels: https://www.youtube.com/user/destinws2/videos
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