Starlink, the satellite broadband subsidiary of Elon Musk‘s aerospace giant SpaceX, has reportedly informed Brazil’s telecom regulator, Anatel, that it will not comply with a court order to block social media platform X in Brazil until its local accounts are unfrozen.
What Happened: The conflict between Brazil and Musk’s business interests intensified after the country’s supreme court upheld a decision to ban social network X. The court’s decision, supported by Brazil’s President Luiz Inacio Lula da Silva and Judge Alexandre de Moraes, was based on the platform’s allowance of hate messages and false information about the country’s electronic voting system, undermining Brazil’s democracy.
Starlink has drawn the ire of Brazilian authorities by refusing to comply with Moraes’ order for all internet providers to block domestic access to X. Anatel commissioner Artur Coimbra has warned that sanctions against Starlink for noncompliance could include the revocation of its license to operate in Brazil, Reuters reported on Tuesday.
Starlink is the only company that has informed Anatel it will not comply with the judge’s ruling. It had earlier communicated to Anatel its refusal to remove X from its service until the freeze on its Brazilian bank accounts was lifted.
Why It Matters: This defiance by Starlink comes in the wake of a series of events that have strained relations between Musk’s businesses and the Brazilian government. President da Silva had stated that the world does not have to tolerate Musk’s “Far-Right Ideology.”
Following this, Musk had suggested that Dogecoin DOGE/USD payments could potentially help Starlink circumvent the freezing of its bank accounts in Brazil.
Musk has also threatened to seize Brazilian government assets unless property belonging to his companies X and SpaceX is returned.
Price Action: Destiny Tech100 DXYZ, which allows investment in Space X, closed at $13.03 on Monday, and was trading 1.30% lower in the after-hours market, according to Benzinga Pro.
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This story was generated using Benzinga Neuro and edited by Pooja Rajkumari
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