This is the first of a two-part series on the arrest of Telegram founder Pavel Durov. Is this a turning point in the battle between governments and tech giants over privacy and free speech? We explain why it isn’t easy to figure out the ‘right’ or ‘wrong’ side in this war—whose outcome will affect all of us, everywhere. In part one, we look at who Pavel Durov is—and why he was arrested.
Editor’s Note: This is the first of a two-part Big Story on Durov’s arrest. The second part—which you can read here—looks at whether this singular event will be a turning point in the evolution of the internet. Will it reshape the rules of the internet for all of us—or remain an exception to those rules? This is especially important for Indians—given the government’s big push for total control.
Pavel Durov: Messiah or charlatan?
Durov’s initial claim to fame was as the founder of a Russian rip-off of Facebook in 2006—called Vkontakte. It is why he is often called Russia’s Mark Zuckerberg—as a compliment (or not). He became a free speech hero in 2011—when he refused to turn over user data—on Ukrainian protesters—to Russian authorities:
Mr. Durov, who was still running Vkontakte while building Telegram, said the government had eventually given him an ultimatum: Hand over data about Vkontakte’s users or lose control of the company and be forced to leave the country. “I chose the latter,” Mr. Durov said.
From the very beginning, Durov has positioned himself as a kind of messiah—a complex that dates back to his childhood:
As a somewhat awkward teenager, Durov was said to possess immense self-confidence, bordering on a messianic belief in his own abilities. When friends gathered at a flat after high school graduation to discuss future careers, he told them, without a hint of joking, that he would become an “internet prophet.”
FYI: Once he ascended to tech billionaire status, Durov started to dress like (surprise, surprise!) Neo in ‘Matrix’:
But, but, but: Durov’s heroic reputation has always been a bit dubious—thanks to a mean streak that is a mile wide:
In 2013, he hit a Russian policeman in a Mercedes in St. Petersburg; he was fleeing a traffic stop after driving on the sidewalk to get around a traffic jam… Mr. Durov later wrote on his Vkontakte page at the time: “When you run over a policeman, it is important to drive back and forth so all the pulp comes out,” according to the briefing document.
Nasty, yes, but also hypocritical since Durov has maintained close ties to the Russian power establishment—despite his theatrical exit from the country.
Tech stud farm of one: Adding to his vaguely disreputable image: Durov’s tendency to preen. He loves posting shirtless selfies on Instagram:
This one was accompanied by a stirring caption that read: “My favorite movie is ‘300’. The story about 300 Spartans fighting to protect the freedom of their compatriots will inspire people thousands of years from now.” Durov’s recent post laid claim to his feats as a sperm donor—fathering more than 100 biological children in 12 countries over the past 15 years. FYI: He plans to ‘open source’ his DNA.
Point to note: For his interview with Tucker Carlson, Durov chose to position himself in front of a row of, umm, penises (insider Russian reference explained here).
As for Telegram: Durov rolled out the messaging app in 2013 as a “politically neutral refuge, free from government control and a haven for free speech.” Its selling point: Unlike WhatsApp, it allowed users to create ‘channels’ to communicate with large numbers of followers. The app now has more than a billion users—and established Durov’s rep as far more than a Zuck wannabe. Durov’s own net worth is estimated at $15.5 billion.
More than messaging: The Financial Times recently described Telegram as “a crypto firm with a sideline in messaging.” It makes more money from its cryptocurrency services—than ads or premium platform plans. The crypto pie is now worth $148 million—which includes its wallet, digital collectibles and its own currency Toncoin. That’s 40% of its annual revenue.
Also this: The crypto industry also relies heavily on Telegram: “In the industry, Telegram has become a popular forum for big-money deal-making, marketing outreach to traders and even crisis management by failed companies like Three Arrows Capital and FTX.” That’s why crypto enthusiasts have been Durov’s loudest supporters after the arrest.
The arrest, explained
Durov was detained on August 24—when he landed in Paris in his private jet. French authorities had issued a warrant for his arrest back in March, It isn’t clear whether Durov knew about it—and still took the risk of entering France—where he is a citizen.
The charges: Durov has been charged with managing an online platform that enabled “illegal transactions by an organized group.” As the founder, he is being held responsible for the crimes committed on his platform—be it distribution of child sex abuse material and drugs–or financial frauds. Finally, he has been accused of refusing to cooperate with law enforcement.
The investigation: is being led by a small French cybercrime unit within the prosecutor’s office–known as J3. The unit is on untested legal ground. Social media platforms are granted immunity from content posted by users—through something called the ‘safe harbour’ clause (explained here).
But J3 has already gone after two encrypted messaging services—Sky ECC and Encrochat. They were used by gangs to purchase drugs and weapons—and put out hits on rivals. Encrochat’s Canadian CEO was extradited from the Dominican Republic to face charges in France.
Point to note: It is very rare for high-ranking tech leaders to be indicted for crimes committed by users. A handful of such cases in the past include the creator of the Silk Road online black market Ross W. Ulbricht—and Changpeng Zhao, the founder of Binance. This may be exactly why J3 is targeting CEOs, say legal experts:
As a CEO, seeing that you are personally put at risk, I’m going to have much lower tolerance for speech and transactions at the margins. It would at least make me question where I’m travelling and why.
But, but, but: The arrest may also turn out to be a proverbial storm in a bit of French china—given how its legal system works:
In France, complex criminal cases like the one against Mr. Durov are initiated by prosecutors but ultimately handled by special judges with broad investigative powers, who charge defendants when they believe that the evidence points to serious wrongdoing. The magistrates can later drop the charges if they do not believe that the evidence is sufficient to proceed to trial, and cases can take years — meaning a swift resolution of Mr. Durov’s case is unlikely.
Why Durov’s arrest matters to you
Until now, the internet has been treated as the Wild West—with tech companies left mostly free to make their own rules. Over the past decade, governments have become unhappy at the lack of regulatory restraint—with good reasons and bad. And many—including New Delhi—are moving to tighten the reins:
The arrest is the "most dramatic action to date" in the "global fight between officials and tech companies over limits to harmful content", said The Washington Post. Durov's arrest "reignites a fierce debate" over free speech on social media platforms, as governments step up efforts to "police the role of social media and messaging platforms in spreading illegal and false information.”
Arresting Durov breaks new ground—perhaps opening the door to a similar escalation in other democracies.
Point to note: Activists too have called for more or less regulation—hopping from one side to the other based on the issue. Take, for example, hate speech vs political dissent.
An escalation in Brazil: Over the weekend, the Brazilian Supreme Court banned X—for failing to suspend accounts accused of spreading disinformation. Founder Elon Musk refused to do so—and called for the impeachment of the judge. In turn, the judge opened an investigation into Musk for spreading disinformation about the Court. When Musk missed the deadline to appoint a legal rep for X, the judge issued the ban.
Meanwhile, in India: The government has already introduced new laws—which will yank the immunity granted to social media giants—if they fail to take down offending posts and accounts. In fact, their employees can be arrested for such defiance. Btw, this is Musk’s justification for obeying New Delhi to a fault—even as he disses Brasilia.
There are already signs of great trouble brewing in a legal battle with WhatsApp—which is threatening to exit India if it’s asked to break encryption of user messages. Also this: soon after Durov’s arrest, a government source told Moneycontrol that Telegram was being investigated for enabling extortion and gambling—and could possibly be banned. (We look at the issues involved in greater length in part two)
The bottomline: Many governments are itching to send the same message as Brazil: “If billionaires want to have companies that make billions in these parts, they need to learn to respect the laws. Long live the rule of law and national sovereignty.”
The second part—to be published tomorrow—looks at whether Durov’s singular arrest will be a turning point in the evolution of the internet. Will it reshape the rules of the internet for all of us—or remain an exception to those rules? This is especially important for Indians—given the government’s big push for total control.
You can read part two of this Big Story here, along with the headlines.
Reading list
The Week offers a good overview of the arrest—and the issues it raises. New York Times looks at the charges. The Guardian and the New York Times have more on his background and free speech hero image. Politico looks at his multiple passports—and how he deploys them to his convenience. Reuters profiles J3—the French cybercrime unit that arrested Durov. Hindustan Times has more on the Indian government’s issues with Telegram. The Guardian reports on the battle between X and Brazil.
