Yes it’s true, Facebook is listening to your conversation you have with your friends and family when Facebook app is open or running in background on your phone. Facebook says its not spying on users nor it’s for advertising purposes. Instead they simply wants the users to post easier and faster, about the kind of content you are up to by hunting for the background noise of the TV shows or music.
You can restrict this by stopping the application to use your Microphone on your iPhone or Android device.
Facebook says that the application does listen’s to what’s happening around it, but only as a way of seeing what people are listening to or watching and suggesting posts about it.
SOURCE : The Independent