FTC Wants All Twitter Communications ‘Related To Elon Musk,’ GOP Report Finds

Topline

The Federal Trade Commission has asked Twitter to turn over troves of information on controversial moves made under Elon Musk’s ownership according to a report by House Republicans, as the FTC investigates Twitter’s handling of user data and compliance with a 2022 privacy settlement—a probe the GOP argues is overly broad and biased.

Key Facts

Among the requests are all internal communications “related to Elon Musk,” details about the company’s structure following thousands of layoffs and information about how Twitter decides who can access internal records, after several journalists took part in the release of the “Twitter Files”—selective bits of internal information claiming Twitter effectively censored conservatives before Musk took over.

The FTC’s letters also asked for information about Twitter’s rollout of its revamped Twitter Blue subscription and a description of how the company now authenticates accounts, according to the GOP report.

The FTC has sent a dozen letters to Twitter since Musk bought the company in the fall and is now concerned by what it calls a “troubling pattern of ongoing delay” related to its requests, though Twitter has given some responses to the agency, according to the Wall Street Journal.

The agency scheduled a deposition for Musk on February 3, the Journal reported, but he had to back out due to a possible conflict with his testimony in an unrelated fraud lawsuit involving Tesla.

Twitter and the FTC did not immediately respond to requests for comment from Forbes.

Surprising Fact

A Republican-controlled House Judiciary Committee panel reviewing the alleged “weaponization” of federal agencies recently received the letters as part of a report about the FTC’s probe of Twitter, according to the Journal. The report was released Tuesday evening.

Chief Critic

“There is no logical reason why the FTC needs every single internal Twitter communication about Elon Musk,” the Judiciary Committee report said.

Key Background

The FTC investigation is in response to a $150 million settlement Twitter’s previous leadership made with the agency in May, related to the company’s undisclosed collection of user information that it then supplied to advertisers. The agreement gives the FTC broad power to ensure Twitter complies with privacy components of the deal. The 2022 settlement came about after federal prosecutors said Twitter ran afoul of a 2011 consent decree that prohibited it from misrepresenting what it did with user data. Seven Democratic senators sent a letter to FTC Chair Lina Khan in November urging an investigation into Twitter’s potential consent decree violations. However, Republican lawmakers have argued the agency—led by Khan, a Democratic appointee—is abusing its authority by targeting Musk for political purposes. The newly Republican-led House has made investigations into culture war issues a top priority since winning control of the chamber in the midterm elections, such as reviewing the alleged censorship of conservative views on social media. Its panel focused on the alleged “weaponization” of the federal government was tasked with looking into the FTC investigation of Twitter. The investigation also comes as Musk enamors himself with conservatives, often criticizing President Joe Biden and other high-profile Democrats and voicing support for GOP candidates.

Tangent

Musk said at a Morgan Stanley event Monday that Twitter is nearly profitable and he believes the company can “become the biggest financial institution in the world” in the long run. Musk reportedly warned staff in November the company was on a path to potential bankruptcy without a major financial turnaround.

Further Reading

FTC Twitter Investigation Sought Elon Musk’s Internal Communications, Journalist Names (Wall Street Journal)

Twitter Agreed To Pay $150 Million In Fines – Was It Enough? (Forbes)

Republicans Launch House Committee To Investigate FBI—Including Agency’s Handling Of Trump (Forbes)

Musk’s New Twitter Dream: Become ‘Biggest Financial Institution In The World’ (Forbes)

Musk Tells Staff Twitter Could Go Bankrupt Without Financial Turnaround, Reports Say (Forbes)

Source: https://www.forbes.com/sites/nicholasreimann/2023/03/07/ftc-wants-all-twitter-communications-related-to-elon-musk-gop-report-finds/