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Home»Stock Market»Brazil watchdog moves to block access to Elon Musk’s X after court order By Reuters
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Brazil watchdog moves to block access to Elon Musk’s X after court order By Reuters

September 13, 2024No Comments4 Mins Read
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Written by Lisandra Paraguassu, Luana Maria Benedito, and Ricardo Brito

The telecommunications regulator in Brazil announced on Friday that access to Elon Musk’s X social network was being suspended in the country to comply with a court order from a judge who has been in a prolonged dispute with the billionaire investor.

The popular social media platform failed to meet a court deadline to appoint a legal representative in Brazil, leading to the suspension of access.

Musk has argued that Supreme Court Justice Alexandre de Moraes is attempting unjustified censorship, while the judge maintains that hate speech regulations are necessary for social media.

“They’re shutting down the #1 source of truth in Brazil,” Musk stated on X on Friday.

The judge’s decision could potentially result in X losing one of its largest and most important markets, especially as Musk has been facing challenges with advertising revenue for the platform.

Although X was still accessible in Brazil on Friday, some users reported that their access was already being blocked on other platforms. Three major telecommunications carriers in Brazil announced that they would start blocking access from midnight, as reported by local news outlet UOL.

The feud has also led to the freezing of satellite internet provider Starlink’s bank accounts in Brazil this week. Starlink is a subsidiary of Musk’s rocket company SpaceX.

In his ruling, Moraes ordered the suspension of X (formerly Twitter) in Brazil until it complies with all court orders, including paying over $3 million in fines and appointing a local representative as required by Brazilian law.

Moraes also instructed the telecommunications regulator Anatel to enforce the suspension order.

Anatel confirmed to Reuters that they are working on compliance without specifying a timeline.

To effectively block X in Brazil, telecommunication companies will need to stop carrying the network’s traffic and prevent users from accessing the site via virtual private networks (VPNs).

Moraes also stated that individuals accessing X through VPNs could face fines of up to 50,000 reais ($9,000) per day.

Initially, Apple and Google were directed to remove X from their app stores and implement anti-VPN measures to make it harder for users on iOS and Android devices to access the X app. However, Moraes later revoked this part of the order.

Representatives for Apple and Google declined to comment on the matter.

Unlike in other countries, Supreme Court judges in Brazil have significant powers to make unilateral decisions. In the case of X, Moraes has the support of the majority of the 11-member court, including Chief Justice Roberto Barroso.

In addition to owning X and 40% of SpaceX, Musk is the CEO of Tesla.

The dispute over X stems from an earlier order by Moraes this year, requiring the platform to block accounts involved in spreading distorted news and hate speech. Musk criticized this as censorship and closed X’s offices in Brazil but ensured the platform remained accessible.

Musk has pledged that Starlink will continue to serve Brazilians, including the military, for free until the situation is resolved.

Starlink petitioned the Supreme Court to lift the freeze on its bank accounts, arguing compliance with all court orders. However, the request was denied on Friday evening.

When asked for a comment, President Luiz Inacio Lula da Silva emphasized that all businesses operating in Brazil must adhere to legal obligations.

“Just because someone has a lot of money doesn’t mean they can disregard the law,” the President stated in a radio interview on Friday.

Musk criticized the President as Moraes’ “lapdog” and referred to the judge as a “dictator” in a post on Thursday.

At an event on Friday, Moraes showed no signs of backing down.

© Reuters. The logo of social media platform X is seen on a mobile phone next to a reflection of Alfredo Ceschiatti's sculpture The Justice, outside Brazil's Supreme Court in this illustration taken August 30, 2024, in Brasilia, Brazil. REUTERS/Ueslei Marcelino

“Those who undermine democracy, who violate fundamental human rights, whether in person or through social media, must be held accountable,” he stated.

($1 = 5.6121 reais)

Access block Brazil Court Elon moves Musks order Reuters watchdog
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