FTC to Big Tech: Don’t Trade American Privacy for Foreign Demands

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FTC to Big Tech: Don’t Trade American Privacy for Foreign Demands

By CircleID Reporter
August 26, 2025, 9:32 am PDT Views: 16,149 Add Comment

FTC chairman Ferguson warns companies against censoring or weakening the data security of Americans at the behest of foreign powers.

In a striking admonition issued on August 21st, Andrew Ferguson, chairman of the Federal Trade Commission (FTC), cautioned over a dozen major technology firms against bowing to foreign demands that compromise American users’ data security or freedom of speech.

In letters dispatched to companies including Apple, Meta, Microsoft, Amazon, and Alphabet, Ferguson underscored that complying with foreign laws—such as the European Union’s Digital Services Act or the UK’s Investigatory Powers Act—must not come at the expense of commitments made to U.S. consumers. Weakening encryption or enabling censorship, even under international pressure, could constitute deceptive practices under the FTC Act.

Ferguson emphasized that “Americans’ freedoms” are threatened by efforts abroad to erode encryption and mandate content moderation. He warned that any divergence from declared security protocols—such as weakening end-to-end encryption—might be deemed both deceptive and unlawful if it exposes users to surveillance, fraud, or identity theft.

Domestic priority: The letters arrive amid growing global scrutiny of digital platforms and their role in moderating content and safeguarding data. Yet the FTC’s message was unambiguous: U.S. firms are expected to prioritize domestic consumer protections over conflicting international statutes.

The warning signals potential enforcement action should companies fall short of their obligations. It also underscores the FTC’s growing willingness to challenge the extraterritorial reach of foreign digital regulations when they conflict with American consumer protections.

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By CircleID Reporter — CircleID’s internal staff reporting on news tips and developing stories. Do you have information the professional Internet community should be aware of? Contact us.
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