FTC Presses Amazon for Information on Use of Encrypted Messaging
In a notable development, the Federal Trade Commission (FTC) has taken legal action to obtain insights into Amazon’s internal communication practices, specifically regarding the use of the encrypted messaging app Signal. With a fresh court filing, the FTC is asking a judge to require Amazon to disclose both how it has directed its leadership on the topic of sensitive discussions via Signal and how it has handled the preservation of documents pertinent to antitrust inquiries.
The crux of the FTC’s demand is centered on the production of documents that would shed light on Amazon’s alleged failure to retain messages on Signal. The agency is keen on uncovering the nature of document preservation notices issued by Amazon, along with any guidelines provided to employees about utilizing ephemeral messaging applications that include Signal among their ranks.
This recent move is part of a broader, potentially protracted antitrust confrontation between the regulatory body and the tech behemoth headquartered in Seattle. In a groundbreaking legal action initiated in September by the Lina Khan-led FTC, Amazon was accused of perpetuating an illegal monopoly, inflating prices for consumers, and engaging in practices that harm the multitude of Amazon sellers. Amazon has dismissed the lawsuit as unfounded and is prepared to contest it. However, the trial is anticipated to commence only in late 2026.
Previously in the autumn, the FTC brought forth allegations that Amazon executives had obliterated evidence by resorting to Signal for communication. This was said to have occurred over several years, despite the company being notified in 2019 of an FTC investigation and the consequent requirement to safeguard all pertinent documents and communications. Notably, the agency highlighted that prominent figures, including founder Jeff Bezos and CEO Andy Jassy, utilized Signal, which is known for its feature that allows messages to vanish permanently upon activation by the user.
The FTC’s assertion in the recent filing is stark; it suggests that Amazon did not direct its employees to preserve messages on Signal until well over a year after being aware of the FTC’s investigative actions. The agency expressed concerns that crucial information may have been irretrievably lost.
In response to these allegations, Amazon spokesperson Tim Doyle conveyed that the FTC has been furnished with an exhaustive array of documents and data from Amazon, including a vast trove of 1.7 million documents and over 100 terabytes of data sourced from emails, internal messaging apps, and laptops, among others. Amazon had previously labeled the FTC’s accusations about evidence destruction as “baseless,” maintaining that the company had proactively informed the FTC about its use of Signal and submitted messages that were not automatically erased.
However, the FTC counters that Amazon’s disclosure occurred a mere six days before a media report emerged, pointing out the use of Signal by Amazon executives.
