Vibe, Filr, and a number of open source applications choose to display lists of all users known to the application. In the cases of Vibe and Filr, the attempt to control such visibility is via "groups." Alas, that not only does not work effectively, but it confuses the two uses of the term "groups" in a system.
There are directory groups, created to reduce typing and lookups. These are administrative items which are hidden from users and overwhich users have no control. There are also groups of users who volunteer/opt-in to a listing of some kind for personal interactions, having nothing to do with directory organization.
The apps noted above do not distinguish these two different uses of the term groups. The consequence seems to be user identities are shown to everyone or nearly everyone, without permission of the users, and that constitutes an unwanted and totally unnecessary invasion of privacy.
My feeling is when I see this display of everyone in an application I consider that to be a banner written by the app author(s) saying: "I have no idea of what I am doing here (this isn't really a proper social networking app, but we tossed in whatever we could find anyway) and I/we have given no thought to the consequences of that action."
Such failures to think through a problem can, and in this case does, sacrifice users information. This does no good whatsoever. It is entirely a loss.
There are reasonable cases for forming people-groups, joined by the individuals, not forced upon people by admins, and not governed by administrative directory structures. These must be opt-in, with a default of not-in. If an app goes this route then its design needs to encompass a multitude of such people groups, with tools placed before users to let them in or out, be visible or not, and if visible then showing only what each user permits. In most apps there needs be no such people groups; they are not social rendezvous programs.
In the cases of Vibe and Filr, people use the application for files. Visiting a place to obtain or deposit files ought not result in a display of personal information to all and sundry. Imagine that happning when you visit your bank, shops, airlines, vendor web pages, talk to a stranger and so forth, with results displayed to a wide unknown audience. Correct, that would be gross misbehaviour. You get the idea.
Until apps are revised to behave as considerate adult-like systems, have the actual need for people groups and any display of user information to other users I recommend the show-all features of apps be removed.

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