'Twitter execs covered up major security flaws for more than a decade, and ... multiple foreign intelligence agencies may have employees embedded within the company.' So Dorsey and Twitter have been lying to the Feds.
From Morning Brew
If an explosive whistleblower complaint is true, then Twitter executives deceived federal officials about extensive security issues within the app that leave users’ personal information vulnerable and could even pose a risk to national security.The whistleblower, who agreed to have his identity revealed publicly, was...a pretty big deal at Twitter—it’s the company’s former security chief Peiter “Mudge” Zatko. In an 84-page complaint sent to Congress last month and obtained by the Washington Post and CNN, Zatko alleged that senior Twitter execs covered up major security flaws for more than a decade, and that multiple foreign intelligence agencies may have employees embedded within the company.
If a government investigation finds that Zatko’s allegations are true, Twitter could face billions of dollars in fines as it heads into a costly legal battle with Elon Musk. So what exactly does the whistleblower complaint say, and how could it affect the Musk case? Well…
It’s bad
Under the terms of a 2011 FTC settlement, Twitter agreed to create and maintain a robust security plan subject to independent audits.
According to Zatko’s complaint, that didn’t happen. Zatko alleges that the company’s servers use outdated software, and key information about security breaches was withheld from directors. As a result, he alleges, Twitter deals with approximately one security incident per week that’s serious enough to require disclosure to government agencies.
In an email to employees, Twitter CEO Parag Agrawal criticized the whistleblower complaint as being “a false narrative that is riddled with inconsistencies and inaccuracies.”
What it all means for Musk
Zatko alleges that executive bonuses of up to $10 million tied to daily user growth have significantly disincentivized them to eliminate spam on Twitter. That claim could help Elon Musk’s attempt to pull out of his $44 billion purchase of the company, as his case hinges on allegations that Twitter is miscounting how many bots it has.
While the binding agreement Musk signed to purchase the company didn’t include any exceptions for bot numbers, the accusation that Twitter has misled shareholders and regulators about the number could help his case.—MK
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