The **Federal Trade Commission (FTC)** announced Wednesday that it is considering whether to modify or completely set aside a 2022 settlement order with **Twitter**, now rebranded as **X**. The original settlement stemmed from allegations that **Twitter** used account security data, such as phone numbers and email addresses provided for two-factor authentication, to support its targeted advertising business. ### The Original Settlement and Allegations In May 2022, the **FTC** and the Department of Justice announced a $150 million settlement with **Twitter**, along with a prohibition against the company from profiting from what the **FTC** described as "deceptively collected data." The agency alleged that **Twitter**'s practices violated a 2011 order that barred the firm from misrepresenting its privacy and security measures. "**Twitter** obtained data from users on the pretext of harnessing it for security purposes but then ended up also using the data to target users with ads," stated **FTC** Chair **Lina Khan** at the time. "This practice affected more than 140 million **Twitter** users, while boosting **Twitter**’s primary source of revenue." ### X's Petition and Arguments **X**, which came under the ownership of **Elon Musk** in October 2022 and was rebranded in 2023, has filed a petition with the **FTC** arguing that the settlement terms are unfair and no longer relevant. According to the **FTC**'s call for public comment, **X** contends that the order was issued against a company that "no longer exists," that the employees responsible for the alleged scheme are no longer with **X**, and that the company has since established a "world-class" privacy and data protection program. Furthermore, **X** argues that the order "no longer serves any valid regulatory purpose, imposing millions of dollars in needless costs to address obligations and protections already required by domestic and international privacy regimes and industry-recognized frameworks that **X** Corp. follows," as detailed in the **FTC**'s [press release](https://www.ftc.gov/news-events/news/press-releases/2026/06/ftc-seeks-comment-x-corp-petition-set-aside-or-modify-ftc-order-concerning-twitter). The tech giant also asserts that setting aside the order aligns with First Amendment principles and is "critical to advancing American leadership in artificial intelligence." ### Public Comment Period Underway The **FTC** has invited public comment on whether it should modify or set aside the order. This public comment period is open until July 2, after which the agency will decide on the next steps. This decision could have significant implications for how regulatory bodies enforce data privacy agreements, especially when companies undergo major ownership changes and rebranding.