Advocacy Groups Urge FTC to Reject X Corp.'s Petition to End Data Audits

Privacy and consumer protection advocates are urging the Federal Trade Commission to reject X Corp.'s petition to terminate ongoing audits of the platform's data handling practices, ahead of a July 2 deadline for public comments. X had argued that an FTC order was no longer necessary due to changes Elon Musk made to the platform, including complete rebranding and compliance with the European Union's General Data Privacy Regulation. The original FTC order came as a penalty after the agency found that a coding error had caused then-Twitter to improperly share users' contact information for ad targeting that had initially been submitted for two-factor authentication.

X Corp. Petitions FTC to End Audits Citing Rebranding and GDPR Compliance

Last month, the FTC posted a notice explaining that X had argued that an FTC order was no longer necessary due to changes Musk had made to the platform. According to X, the order imposes burdensome costs and should be terminated, partly because the company has completely rebranded since Musk took over Twitter. X also argued that the order's requirements were duplicative since X now faces similar obligations under the European Union's General Data Privacy Regulation.

Musk's argument centers on the claim that since he rebranded Twitter as X and folded X into SpaceX, the old Twitter business has been transformed. Under the current FTC order, X is subjected to costly independent audits, and the FTC has authority to demand documents to ensure compliance with data privacy laws without taking additional legal action.

15 Advocacy Groups Submit Letter Opposing X's Petition

Fifteen privacy and consumer protection advocates co-signed a letter this week refuting all of X's arguments. The organizations include Demand Progress, the Electronic Frontier Foundation, the Electronic Privacy Information Center, and the National Consumers League. The advocates are urging the FTC to "unequivocally reject X Corp.'s brazen attempt to escape accountability at the expense of the American people."

The letter stated that "X Corp.'s petition fails to clear the demanding legal standard necessary to grant the extraordinary action the corporation is requesting." The advocacy groups wrote that "X Corp. and its current leadership present a serious risk to Americans' privacy and data security, demonstrating the need for continued" FTC oversight.

Original FTC Order Resulted from Twitter Data Privacy Violation

The initial order came as a penalty after the FTC found that a coding error had caused then-Twitter to improperly share users' contact information for ad targeting that had initially been submitted for two-factor authentication. The violation led to the FTC imposing an order that subjects X to independent audits and grants the agency authority to demand documents to ensure compliance with data privacy laws without taking additional legal action.

FAQ

What is the July 2 deadline related to X Corp. and the FTC?

The July 2 deadline is for submitting public comments regarding X Corp.'s petition to the Federal Trade Commission to terminate ongoing audits of the platform's data handling practices.

Why did the FTC originally order audits of Twitter?

The FTC found that a coding error had caused then-Twitter to improperly share users' contact information for ad targeting that had initially been submitted for two-factor authentication, resulting in the order that subjects X to independent audits.

Which organizations opposed X Corp.'s petition to end FTC audits?

Fifteen privacy and consumer protection advocates co-signed a letter opposing the petition, including Demand Progress, the Electronic Frontier Foundation, the Electronic Privacy Information Center, and the National Consumers League.

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