Brazilian President Luiz Inácio Lula da Silva criticized Elon Musk on Friday after the X owner defied a Brazilian Supreme Court order to name a legal representative, as tensions between the billionaire and the government escalated and the social media platform risked being taken offline in Latin America's largest economy.
Supreme Federal Court Justice Alexandre de Moraes late Wednesday gave the company 24 hours to name a legal representative in Brazil—a requirement to operate a business there—or have its operations shut down. X didn't comply, instead issuing the latest in a series of statements denouncing de Moraes. As of this writing, no shutdown of X in Brazil has occurred.
Another layer to the standoff was also revealed on Thursday: De Moraes on August 18 had quietly ordered the Brazilian bank accounts of Starlink, a Musk-owned satellite internet company, to be frozen, due to unpaid fines owed by X.
Lula, a left-leaning former unionist who retook the presidency early last year after leading the country from 2003 until 2011, defended the judge's position in a radio interview Friday morning, arguing that everyone, no matter how powerful, must follow Brazilian law.
"Just because the guy [Musk] has a lot of money doesn’t mean they can disrespect you," Lula said, according to a translation in The Guardian.
"Who does he think he is?" he added.
In April, De Moraes ordered X to deactivate more than 100 accounts of users whom he said were spreading disinformation. The accounts, which were not made public, are reportedly linked to the same far-right movement that stormed government buildings in Brasilia on January 8, 2023, in support of former president Jair Bolsonaro, who had just given up power days earlier. Bolsonaro, a far-right politician, spread lies of voter fraud and reportedly planned a coup after losing the 2022 election.
De Moraes led Brazil's effort to fight fake news ahead of the 2022 election and made the April ruling to try to combat disinformation ahead of municipal elections in October.
Musk refused to comply with the April order, arguing that it was illegal and an act of censorship targeted at the judge's political opponents. He has repeatedly called de Moraes a "dictator" and positioned himself as a defender of democracy. His defiance of de Moraes has drawn praise from U.S. Republicans and right-wingers in Brazil.
Musk calls himself a "free-speech absolutist" but critics have rejected that characterization. In a Common Dreamsop-ed last year, Free Press senior director Tim Karr argued Musk was "absolutely an enemy of free speech" and accused him of "taking extraordinary efforts to silence any honest criticism and independent research that might negatively impact him or his businesses."
Earlier this month, X closed its active operations in Brazil, saying that de Moraes had threatened their legal representative with arrest. That led to the standoff this week in which de Moraes ordered the company to name a legal representative.
The social media platform has, as X planned when it withdrew its staff, remained available to Brazilian users. When or if it will be closed following the closure of the 24-hour window is unclear. The company said in a statement that it expects a shutdown "soon."
To shutter the website, de Moraes would have to issue an order to the national telecommunications regulator, which would in turn relay it to internet providers. Experts say that process could be completed quickly—perhaps in 12 hours—but many Brazilians would still be able to access X via virtual private networks, or VPNs.
Some legal experts have criticized de Moraes for freezing Starlink's bank accounts, which makes it impossible for the company to do business in Brazil. Starlink provides internet services in remote areas, including in the Amazon. Starlink is a subsidiary of SpaceX, which is 42% owned by Musk. Musk has emphasized that SpaceX is an entirely separate company from X, with different shareholders.
De Moraes' rationale for the asset freezing is that X hasn't paid its fines, which accrue daily and are reportedly now above $3.6 million in total.
Brazil has more than 20 million X users, sixth in the world, according to Statista.
