Yea it can go too far - I'd never put naked pics up anywhere! But I do put pics up of my family on FB. I have my privacy as tight as it goes, so I feel fine about that. With friends and family spread across the globe it's a good way to update them!
That bit in the article about kids being entitled to make their own first impressions is bullcrap. Kids are seen and heard by many, way before they come of age to make their own decisions, whether their pic is on the internet or not. We've always shared family albums, the internet's just a different medium for it.