Updated
Updated · Ars Technica · Jun 4
Musk Again Seeks to Void X's 20-Year FTC Privacy Order After $150 Million Settlement
Updated
Updated · Ars Technica · Jun 4

Musk Again Seeks to Void X's 20-Year FTC Privacy Order After $150 Million Settlement

1 articles · Updated · Ars Technica · Jun 4

Summary

  • $150 million and monitoring until 2042 remain at stake as Elon Musk again tries to escape the FTC order requiring X to undergo regular independent privacy audits.
  • The order followed Twitter's disclosure that a 2013-2019 coding error let phone numbers and email addresses collected for two-factor authentication be used for targeted advertising.
  • FTC filings say Musk's 2022 takeover heightened compliance risks after key staff were cut, with one engineer saying layoffs impaired controls and about 37% of privacy-program controls had no owner.
  • The agency also cited Musk's demands for internal-system access during the Twitter Files episode and said X security staff at times had to defy him to stay compliant.
  • Musk already failed to revoke the order in 2023, when he accused the FTC of bias; the renewed fight keeps focus on whether X can meet long-term privacy obligations.

Insights

With AI development at stake, will the FTC loosen its 20-year privacy grip on X?
Is X’s fight with the FTC the new blueprint for regulating Big Tech’s AI ambitions?
After firing 80% of its staff, can X prove its privacy program is more than an empty promise?