U.S. FTC asks Twitter if it has resources to comply with consent decree

Figurines with smartphones and computers are seen in front of the Twitter logo in this illustration, November 28, 2022. REUTERS/Dado Ruvic/Illustration/File Photo

WASHINGTON (Reuters) -The U.S. Federal Trade Commission, which enforces rules against deceptive practices, has contacted Twitter to ask if the company still has the resources to comply with a privacy consent decree, a person familiar with the matter said on Thursday.

Upheaval and mass layoffs at Twitter since its takeover by Elon Musk have sparked concerns that the social media giant might fail to abide by a May 2022 settlement with the U.S. regulator in which the company agreed to improve its privacy practices. That settlement preceded the Musk takeover.