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Elon Musk Uses Starlink to Avoid Suspension of X in Brazil, But Faces Legal Pressure and Asset Freezing
Last Friday, a judge from the Federal Supreme Court (STF) of Brazil ordered the immediate suspension of X (Known as Twitter before being acquired by businessman Elon Musk). The measure was taken after the company refused to appoint a legal representative amid accusations of misinformation and hate speech.
Most internet providers in the country complied with the order, but Starlink, under Elon Musk’s control, challenged the authorities and stated last Sunday that it would not block the social network until frozen assets were released. Starlink, which offers internet via satellite, initially ignored the court order, attempting to maintain access to X, but soon had to backtrack.
Starlink’s Retreat and the Threat of Sanctions in Brazil
After the initial challenge, Starlink’s attempt to circumvent the block lasted only 48 hours. On Tuesday, the company announced that it would comply with the court’s decision to block access to the social network in Brazil. “Regardless of the illegal treatment of Starlink in the freezing of our assets, we are complying with the order to block access to X in Brazil,” the company stated in a post on its own platform X.
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According to information from Anatel (National Telecommunications Agency), non-compliance with the court order could result in severe sanctions for the company, including the revocation of its license to operate in the country. “We would start with warnings, moving to fines and, as a last resort, the loss of the concession,” said Carlos Baigorri, president of Anatel.
The complex situation involving Starlink and X is due to the fact that both are controlled by Elon Musk. Although they are separate companies, the STF considers them a “de facto economic group” due to Musk’s shared control over both entities. Starlink is a subsidiary of SpaceX, and Musk holds about 79% of the voting rights in SpaceX, although he owns only 40% of the shares.
Court Decisions and the Impact on Starlink
The blocking of Starlink’s accounts in Brazil was a drastic measure taken by Minister Alexandre de Moraes, aimed at ensuring payment of fines imposed on X, which failed to comply with several court orders. The freezing of Starlink’s accounts was announced on August 24, after repeated attempts to force the social network X to comply with Brazilian regulations on content and legal representation.
Under Brazilian law, internet companies operating in the country must adhere to strict rules, including appointing a legal representative. X’s refusal to comply with this requirement led to a series of fines, culminating in the blocking of its accounts, including those of Starlink, through which Musk attempted to circumvent the order.
The Future of Starlink in Brazil
The relationship between Starlink and Brazil is under scrutiny, especially considering the company’s growing role in providing internet in remote areas of the country. Starlink has established itself as one of the main options for satellite internet in Brazil, offering connectivity in regions where traditional providers do not reach. However, the legal conflict may bring uncertainties about the continuity of this service in the country, especially if new violations of court decisions occur.
So far, Starlink has announced that it will continue operating in Brazil, as long as it complies with legal requirements, and that it will take all necessary measures to appeal decisions it considers “unjust.” However, Elon Musk’s company will need to maintain a closer relationship with Brazilian authorities if it wants to avoid new penalties and maintain its regular operations in Brazilian territory.
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