WP Engine vs. Automattic: Legal Battle Intensifies Over Alleged Anti-Competitive Practices

The ongoing legal feud between WP Engine (WPE) and Automattic, spearheaded by WordPress co-founder Matt Mullenweg, has reached a critical point. WP Engine has amended its federal complaint, citing recent actions by Automattic, including the launch of the WP Engine Tracker website, as evidence of intentional harm to WP Engine’s business and its customers. This development underscores the deepening tensions between the two major players in the WordPress hosting ecosystem.

The WP Engine Tracker Controversy

At the heart of WP Engine’s updated complaint is the WP Engine Tracker website, which Automattic allegedly created to encourage WP Engine customers to abandon the platform. The site displays metrics on the number of sites leaving WP Engine, provides links to competitor hosting services, and even includes a downloadable file containing sensitive customer information.

A spokesperson for WP Engine described the tracker as a reckless publication that jeopardizes customer privacy and security. WP Engine has requested a preliminary injunction to compel Automattic to take down the site immediately. The November 26 hearing on this matter could mark a pivotal moment in the dispute.

Allegations of Malicious Intent

WP Engine’s amended complaint goes beyond customer poaching, alleging a concerted campaign of “abuse of power, extortion, and greed” by Automattic. Specific evidence cited includes:

• Statements from Matt Mullenweg: In a public address, Mullenweg allegedly described WP Engine as being in a “war” with Automattic, predicting substantial customer losses and vowing to “take every single one of their customers.”
• Customer List Disclosure: The tracker site reportedly included private details about WP Engine customers, such as domain names tied to development, test, and pre-production servers. WP Engine asserts that exposing such information puts these customers at risk of hacking and unauthorized access.
• Employee Poaching: WP Engine accuses Automattic of actively recruiting its employees as part of a larger strategy to destabilize the company and undermine its future.

Broader Implications and Federal Allegations

The legal dispute touches on several federal statutes, including:

1. The Sherman Act: WP Engine alleges monopolistic practices aimed at eliminating competition in the WordPress hosting market.
2. The Lanham Act: The complaint includes accusations of false advertising and unfair competition.
3. The Computer Fraud and Abuse Act (CFAA): WP Engine claims that Automattic’s actions amount to unauthorized disclosure and access to sensitive data, potentially exposing customers to cybercrimes.

These allegations suggest that WP Engine views Automattic’s actions as part of a broader effort to dominate the hosting market and weaken competitors.

Context and Analysis

This legal skirmish highlights a larger tension within the WordPress ecosystem, where commercial interests often collide. Automattic, as the company behind WordPress.com and other services, wields significant influence in the community. However, this power is increasingly being scrutinized by competitors who rely on the open-source WordPress platform but operate in direct competition with Automattic’s offerings.

The WP Engine Tracker website, if proven to be an Automattic initiative, raises serious ethical and legal concerns. Publishing sensitive customer data—even if indirectly accessible—could erode trust in the broader WordPress ecosystem. It also sets a worrying precedent for competitive behavior in the tech industry.

On the other hand, Mullenweg’s alleged statements, if accurately quoted, could bolster WP Engine’s claims of targeted and malicious intent. Publicly declaring a “war” against a competitor is not just inflammatory—it may serve as damning evidence in a court of law.

What’s Next?

The upcoming hearing on November 26 will determine whether WP Engine can secure a preliminary injunction to force Automattic to take down the WP Engine Tracker website. However, the broader implications of this case extend far beyond that date. If WP Engine’s allegations are substantiated, this could lead to significant financial penalties for Automattic and stricter scrutiny of its business practices.

For the WordPress community, this dispute serves as a stark reminder of the complexities and challenges of balancing open-source ideals with commercial realities.

Final Thoughts

The battle between WP Engine and Automattic reflects the high stakes in the WordPress hosting market, where innovation, competition, and ethics intersect. While competition is healthy, crossing into territory that jeopardizes customer trust and data security is perilous—not just for the companies involved, but for the entire ecosystem they operate within.

This case also underscores the need for transparency and accountability among major players in the tech industry, particularly when their actions could ripple out to affect millions of users. As this legal drama unfolds, it will undoubtedly shape the future dynamics of the WordPress hosting landscape.