icon
icon
icon
icon
Upgrade
icon

Musk's Social Media Showdown: Brazil Suspends X as Legal Battle Escalates

AInvestSaturday, Aug 31, 2024 5:00 am ET
1min read

After months of contentious dispute, a Brazilian Supreme Court judge on August 30 ordered the suspension of operations of Elon Musk's social media platform X in the country's largest South American nation, prompting an angry reaction from Musk.


According to Agence France-Presse, the order came after Musk failed to comply with the requirement for X to appoint a legal representative in Brazil. Judge Alexandre de Moraes issued the ruling, insisting that X must halt its services in Brazil until compliance is achieved.


In response, Musk angrily accused de Moraes of "trying to destroy Brazil's democracy." Musk wrote on X that "freedom of speech is the bedrock of democracy, and an unelected judge in Brazil is undermining democracy for political purposes."


This confrontation has been ongoing for several months. Previously, de Moraes had mandated the banning of certain accounts accused of spreading misinformation about the 2022 Brazilian elections. These accounts reportedly belonged to supporters of former Brazilian President Jair Bolsonaro, but X did not fully comply with the order. In April, de Moraes ordered an investigation into Musk, alleging that X had reactivated some of the banned accounts.


Earlier this month, Musk announced the closure of the X offices in Brazil, accusing de Moraes of threatening to arrest X's legal representative in the country to enforce compliance with the "censorship order."


On August 28, de Moraes signed a subpoena requiring X to appoint a new legal representative in Brazil within 24 hours or face a suspension of its services in the country.


On August 29, Musk's satellite internet company Starlink revealed that it had received orders to freeze its accounts in Brazil and was banned from conducting financial transactions. Starlink stated that this order was "based on an unfounded decision holding Starlink responsible for fines imposed on X."


On August 30, Brazilian President Lula also commented on the matter. In a media interview, he said that Musk should not offend Brazilian authorities and that any investor in Brazil is subject to Brazilian law.


Disclaimer: the above is a summary showing certain market information. AInvest is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from a third party source. Communications displaying market prices, data and other information available in this post are meant for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.