In a dramatic shift within Silicon Valley and the web hosting industry, Matt Mullenweg—the prominent co-creator of open-source WordPress and long-time Chief Executive Officer of its parent company, Automattic—has been placed on a forced leave of absence by his board of directors.

The internal coup came to light after Mullenweg posted a message directly to Automattic’s open internal Slack channels detailing how Chief Financial Officer Mark Davies collaborated with board members to organize his removal. Davies has been named interim CEO with immediate effect.

┌─────────────────────────────────────────────────────────────────┐
│                    AUTOMATTIC LEADERSHIP STACK                  │
├─────────────────────────────────────────────────────────────────┤
│ Board of Directors                                              │
│ ├── Ann Dunwoody                                                │
│ ├── Sue Decker                                                  │
│ └── Toni Schneider (Former CEO, 2006–2014)                      │
│                                                                 │
│ Executive Management                                            │
│ ├── Mark Davies (CFO → Appointed Interim CEO)                   │
│ └── Matt Mullenweg (Co-Founder → Placed on Forced Paid Leave)   │
└─────────────────────────────────────────────────────────────────┘

1. The Internal Ambush: What Happened in Slack

Mullenweg revealed the board’s decision to Automattic staff shortly before a scheduled company-wide call. In his Slack message, Mullenweg explicitly called out Davies and key board members—including former Automattic CEO Toni Schneider, retired U.S. Army General Ann Dunwoody, and former Yahoo President Sue Decker—for voting to suspend him.

Matt Mullenweg’s Slack Message to Employees: “And the biggest news: I won’t be able to make the [meeting] tomorrow. @Mark Davies has conspired with @Ann Dunwoody, @Toni, and @Sue Decker behind my back and they voted to put me on a paid leave of absence. I voted against that. Wishing Mark and all of you the very best. To clarify @Mark Davies was voted as interim CEO. I received the resolution 50 minutes before the meeting start, and requested repeatedly for time to have it reviewed by independent legal counsel, even a few hours, which was denied.”

Automattic quickly confirmed the shift in a official corporate statement.

“Matt Mullenweg is currently on leave from Automattic. Mark Davies, Automattic’s CFO, will lead the company as interim CEO. The Board has full confidence in Mark’s leadership and in the team’s ability to execute against the company’s priorities.”

Despite being stripped of operational authority as CEO, Davies later clarified to employees that Mullenweg retains his seat on Automattic’s Board of Directors.

2. Automattic vs. WordPress.org: A Fractured Dual Identity

To understand the implications of Mullenweg’s removal, one must understand the distinct dual governance structure that powers roughly 40% of the modern web: Automattic Inc. (the commercial entity) and WordPress.org (the open-source foundation and community ecosystem).

                        MATT MULLENWEG
                              │
         ┌────────────────────┴────────────────────┐
         ▼                                         ▼
   AUTOMATTIC INC.                          WORDPRESS.ORG
(Commercial Entity)                      (Open-Source Project)
  * WordPress.com                          * Core CMS Code base
  * WooCommerce                            * Plugin Repository
  * Tumblr / Pocket Casts                  * Community Ecosystem
         │                                         │
         ▼                                         ▼
  Board Action:                           No Direct Impact:
  Mullenweg Removed as CEO;               Mullenweg Retains Complete
  Placed on Paid Leave                    Control as Project Lead
  [Mark Davies = Interim CEO]             [Mary Hubbard = Exec Dir]

Following news of the corporate vote, Mary Hubbard, Executive Director of the open-source WordPress project, issued a statement to the community confirming that WordPress.org remains unaffected.

“Matt remains the leader of the WordPress project and I remain Executive Director of WordPress. Our teams, priorities, and work continue as planned,” Hubbard stated.

Because Mullenweg maintains that the infrastructure and trademark rights for WordPress.org belong to him personally rather than Automattic, the corporate board has no authority to remove him from leading the open-source project.

3. The Escalation: Years of Volatility and Legal Warfare

While the board did not state an explicit reason for removing Mullenweg, insiders view the vote as the culmination of two years marked by legal disputes, internal culture crises, financial pressures, and reputational damage.

The WP Engine Feud and Antitrust Lawsuit

The primary catalyst for corporate friction stems from Mullenweg’s open dispute with hosting provider WP Engine.

• Royalty Demands: Mullenweg accused WP Engine of profiting off open-source WordPress while contributing minimal engineering resources. He demanded WP Engine pay an 8% monthly gross revenue royalty fee to use the WordPress brand.
• System Bans & Injunctions: When WP Engine refused, Automattic temporarily blocked WP Engine’s servers from accessing the WordPress.org plugin directory and seized control of the popular Advanced Custom Fields (ACF) plugin. Federal courts later stepped in, issuing preliminary injunctions to restore access and halt blocking tactics.
• Escalating Discovery: The litigation expanded to include allegations of defamation, intentional interference, and antitrust violations, dragging Automattic into prolonged legal discovery and public scrutiny.

Staff Buyouts, Mass Layoffs, and Culture Issues

Mullenweg’s management style led to internal friction within Automattic:

• The “Align or Quit” Severance Offer: Following backlash to his public actions, Mullenweg offered all employees a buyout package if they disagreed with his direction—resulting in 159 employees (approx. 8.5% of staff) resigning.
• Mass Layoffs: In April 2025, Automattic cut roughly 16% of its global workforce (nearly 280 employees) without prior warning, laying off tenured engineers across 90 countries.
• Community Moderation Bans: Mullenweg faced criticism for personally deactivating WordPress.org community accounts belonging to contributors who criticized his leadership or discussed project forks.

+-----------------------------------------------------------------------------------+
|                        TIMELINE OF AUTOMATTIC'S TURMOIL                           |
+-----------------------------------------------------------------------------------+
| Date           | Event Description                                                |
+----------------+------------------------------------------------------------------+
| Sep 2024       | Mullenweg demands 8% royalty from WP Engine at WordCamp.        |
| Oct 2024       | WP Engine files lawsuit; 159 Automattic employees take buyout.   |
| Dec 2024       | Federal Court issues preliminary injunction against Automattic.  |
| Apr 2025       | Automattic lays off 16% of workforce globally.                   |
| Sep 2026       | Board votes to put Mullenweg on leave; Mark Davies named CEO.   |
+-----------------------------------------------------------------------------------+

4. Financial Pressure and Board Dynamics

The board’s decision comes amid mounting financial pressure on Automattic’s valuation. Institutional investor filings show significant markdowns on Automattic’s stock value, reflecting the financial toll of legal fees, staff turnover, and reduced investor confidence.

+-----------------------------------------------------------------------------------+
|                         KEY BOARD & MANAGEMENT PLAYERS                            |
+-----------------------------------------------------------------------------------+
| Person         | Role                                      | Position on Vote     |
+----------------+-------------------------------------------+----------------------+
| Matt Mullenweg | Founder, CEO, Board Member                | Opposed / Outvoted   |
| Mark Davies    | CFO → Appointed Interim CEO               | Supported            |
| Toni Schneider | Board Member (Automattic CEO 2006–2014)   | Supported            |
| Ann Dunwoody   | Board Member (Ret. 4-Star Army General)   | Supported            |
| Sue Decker     | Board Member (Former President of Yahoo)  | Supported            |
+-----------------------------------------------------------------------------------+

Employee responses within Automattic’s internal communication channels ranged from relief to uncertainty over future operations. While some staff expressed relief at the prospect of administrative stability, others noted the ongoing ambiguity surrounding the legal battles and Mullenweg’s potential return.

5. What Lies Ahead for Automattic and WordPress

Mark Davies assumes the role of Interim CEO during a transition period for Automattic. The company faces several pressing operational priorities:

• Legal Strategy: Managing ongoing court proceedings, discovery mandates, and potential sanction hearings in the WP Engine litigation.
• Commercial Portfolio Stabilisation: Restoring operational growth across enterprise products including WooCommerce, WordPress.com, Pocket Casts, and Tumblr.
• Community Relations: Rebuilding trust within the broader developer and open-source community following years of ecosystem friction.

Whether Matt Mullenweg’s leave of absence remains a temporary pause or turns into a permanent separation from Automattic’s commercial operations, the decision marks a significant turning point in the history of WordPress.