Musk slams Brazil judge over Starlink frozen accounts, X shutdown threat
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Elon Musk at the U.S. Capitol in July. Photo: Ting Shen/Bloomberg via Getty Image
Elon Musk's Starlink said Thursday that Brazil's top judge has issued an order that "freezes" the internet satellite business' finances in the country and prevents it from conducting financial transactions in Latin America's largest nation.
Why it matters: Starlink said on X that the action was due to a standoff between Musk's social media platform and Brazilian Supreme Court Justice Alexandre de Moraes.
- Moraes issued a summons on Wednesday alerting Musk saying that X needed to comply with his order to name a legal representative for the platform in Brazil within 24 hours or he'd have the site suspended in the country.
Zoom in: Starlink said on X the order it received was "issued in secret and without affording Starlink any of the due process of law guaranteed" by Brazil's constitution.
- "This order is based on an unfounded determination that Starlink should be responsible for the fines levied — unconstitutionally — against X," Starlink said.
- "We intend to address the matter legally."
Context: Brazilian officials have in recent months been taking action against social media accounts that spread misinformation and hate speech.
- Moraes revealed in April that he was investigating Musk for obstruction of justice after the billionaire said he'd defy a court order blocking certain X accounts in Brazil.
By the numbers: About 40 million people in Brazil, around a fifth of the country's population, use X at least once per month, notes AP, citing the market research group Emarketer.
What they're saying: Musk wrote on X Thursday evening that "SpaceX and X are two completely different companies with different shareholders."
- He said he owned about 40% of SpaceX, "so this absolutely illegal action by the dictator" Moraes "improperly punishes other shareholders and the people of Brazil."
Between the lines: "Musk is by far SpaceX's largest shareholder, controlling a 42% stake and almost 79% of its voting power as of March," per the Wall Street Journal, citing a SpaceX filing with the FEC.
What we're watching: Musk said in a post later Thursday that SpaceX would provide internet service to users in Brazil "for free until this matter is resolved, as we cannot receive payment, but don't want to cut anyone off."
- Meanwhile, X said in a Thursday evening post that it expected Moraes to order the social media site to be shut down in Brazil soon because it would not comply with his orders, which it described as an illegal act "to censor his political opponents."
- Representatives for Brazil's Supreme Court did not immediately respond to Axios' request for comment.
Go deeper: Big Tech defends free speech amid government pressure
Editor's note: This article has been updated with new details throughout.
