Personalized newsletter: Orkut knows things

I just opened and read the “personalized newsletter” I received a few days ago from the Orkut team, and it’s kind of scary. Or, to put it another way, if a computerized algorithm could be your fairy godmother, best friend, or social secretary, it might generate suggestions like the ones in this newsletter–eerily appropriate.
The newsletter highlights events in communities I am involved with–this section doesn’t work so well, because, truth is I don’t live anywhere near LA, Porto, or Denver, though I might share interest in those places.
But then, the newsletter lists friends of friends I might want to know–and the list is a who’s who of people I know of, don’t know personally, and would very much like to meet someday. How does Orkut know to recommend these particular folks?
They’ve clearly got some algorithms that are very smart indeed–I’d like to know who else they think I should meet–and the fact I want to know that really scares me.