WP Engine Alleges Automattic’s Plan to Impose Royalty Fees on Hosting Competitors

This article was generated by AI and cites original sources.

Web hosting company WP Engine has escalated its legal battle with Automattic, the parent company of WordPress.com, by alleging that Automattic intended to target 10 hosting competitors with royalty fees for using the WordPress trademark. The dispute revolves around Automattic’s claim that WP Engine is profiting from WordPress without giving back to the community, demanding an 8% royalty fee. WP Engine also accuses Automattic of pressuring payment processor Stripe to cancel their contract. The latest filing, based on newly unredacted information, reveals Automattic’s alleged plans to extend royalty claims to other hosting providers, including Newfold’s Bluehost and HostGator. WP Engine further claims that Automattic engaged in conversations with additional hosts, the names of which were redacted in the court documents. Additionally, WP Engine asserts that Automattic’s co-founder, Matt Mullenweg, contacted a Stripe executive to influence the cancellation of WP Engine’s contract.

Source: TechCrunch