During installation, the router sent several data packets to an Amazon server in the US. These packets contained the configured SSID name and password in clear text, as well as some identification tokens for this network within a broader database and an access token for a user session that could potentially enable a MITM attack.
Linksys has refused to acknowledge/respond to the issue.
The channel is encrypted, the content is not. It is a password, why would they need it?
Because now they have your login and password - not a hashed version they can only validate against, but the real thing that can be used to log into your network. They shouldn’t ever have it, aside from them being able to sell credentials this also means someone else could probably obtain access to all of them