Entrepreneur

X's Possible Brazil Shutdown: Why It Matters for Musk

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A Brazilian judge ordered a suspension of X, but that has yet to cause an immediate shutdown of the social network in Brazil, as per the Washington Post. This comes after Elon Musk held repeated criticisms against the judge on a range of legal issues.

X's global government affairs page had anticipated the ban, pointing to Moraes' order as part of "censorship of political opponents." The page emphasized its commitment to transparency by making Moraes' demands and court documents public, including earlier critiques of orders blocking accounts connected to investigations into "digital militias" accused of disseminating misinformation.

A ban would affect an estimated 40 million Brazilians who use X every month. That's about 7% of the platform's reported 570 million monthly users. It's not clear how many daily users—estimated to be around 250 million worldwide—use the platform.

Tangent: Musk's satellite company, Starlink, also got pulled into the fray. Moraes' court reportedly froze Starlink accounts; Musk then claimed it was blocking the company's ability to do financial transactions in Brazil. Starlink says that it was frozen "due to an incorrect understanding that Starlink should be jointly liable for the fines against X."

News Peg: Since April, Musk has taken shots at Moraes publicly, most notably after he was forced to suspend some Brazilian accounts under investigation for disinformation on X. Musk called such demands "draconian," lamenting Moraes' perceived overreach. Though Musk did comply in part, some accounts remained active, according to a Reuters report, and further tensions mounted.

Key Background: In the two-year-long fight, Moraes had imposed a deadline for X to name a resident legal representative in Brazil or face a ban. Musk charged that Moraes himself was a violator of the law. Recent posts on X suggest it will not comply with the judge's decision, but it is as yet unclear exactly when a ban would take place, or if X plans to appeal the decision because the appeals from the platform sent to Brazil's Supreme Court have not been considered.

Author
David Carter | Contributer