One of the frustrating things about the Windows Phone People Hub and Friends Live Tiles is that updates from Facebook for your contacts are not shown. In principle, this should work on Windows Phone because of the tight integration the OS has to social networks such as Facebook, Twitter, LinkedIn and Live. If you have struggled with this you are not alone and it is not a problem with Windows Phone. It is a problem with Facebook.
The problem lies with the privacy setting in Facebook and in order for you to see your friends updates, they have to allow it in Facebook on their account. So yes, you have to ask friends to change their Facebook privacy so you can see them. Odd? Yes. Frustrating? Absolutely.
Windows Phone expert & fellow MVP Johan Van Mierlo has posted a great article over on MobilityMinded that outlines the issue and how to go about getting your friends to change their settings to allow these updates to flow freely to your People and Friends live tiles. It is a great article that outlines the issue and how to make the changes to your own Facebook account to allow your friends to access your Facebook updates.
Check it out at MobilityMinded