Court revives antitrust claims against Automattic, citing internal ‘carrot and stick’ message

“If they don’t take the carrot we’ll give them the stick.”
That’s internal correspondence quoted by WP Engine and reproduced in a September 24 court order reviving its antitrust claims against Automattic and Matt Mullenweg.
The carrot was a trademark license: WP Engine could pay Automattic a percentage of its revenue. The stick? Well, as we saw, Mullenweg: blasted WP Engine at WordCamp US, blocked its access to WordPress.org, and added a login checkbox requiring users to declare they weren’t affiliated with WP Engine. In WP Engine’s account, that’s what refusing the carrot got you.
WP Engine alleges at least 11 competitors were targeted for multimillion-dollar deals. The order recounts an alleged “Restriction of choice plan”—a remarkably candid name for something happening around open-source software.
Judge Araceli Martínez-Olguín found the allegations sufficient to let four antitrust claims proceed. The WordPress.org checkbox requiring users to deny any affiliation with WP Engine also supports a plausible illegal-tying claim: access conditioned on not dealing with a competitor.
These remain allegations, not a liability finding. In the order, Automattic also won dismissal of WP Engine’s computer-fraud-law extortion claim without leave to amend.
No comments yet