Elon Musk's X faces shutdown in Brazil

Elon Musk’s X faces shutdown in Brazil as legal feud with justice escalates. Justice Alexandre de Moraes has issued a stern warning to X, the social media giant formerly known as Twitter, threatening a nationwide suspension if the platform’s owner, Elon Musk, fails to comply with his order. In response, Musk has lashed out, calling de Moraes a “tyrant” and “a dictator.”

Escalating Feud Over Free Speech and Misinformation

This latest development is part of a protracted feud between de Moraes and Musk, revolving around issues of free speech, far-right accounts, and misinformation. Many in Brazil are closely watching to see if either side will concede.

Recent Actions by X and De Moraes

Earlier this month, X removed its legal representative in Brazil, citing threats of arrest from de Moraes. On Wednesday night at 8:07 p.m. local time (7:07 p.m. Eastern Standard Time), de Moraes gave X 24 hours to appoint a new representative or face a shutdown until his order is met.

According to the Supreme Court’s press office, de Moraes’ order is grounded in Brazilian law, which requires foreign companies to have local legal representation. This ensures there is someone available to receive legal notices and take necessary actions.

Implications for Brazil’s Municipal Elections

De Moraes’ order comes at a critical time, with Brazil’s municipal elections approaching in October. Luca Belli, coordinator of the Technology and Society Center at the Getulio Vargas Foundation in Rio de Janeiro, notes that X’s failure to appoint a legal representative could impede timely compliance with takedown orders during the election campaign. This could exacerbate the spread of fake news.

Potential Consequences and Enforcement

Any Brazilian judge, including de Moraes, can enforce compliance with legal decisions. Measures can range from fines to more severe actions such as suspension, explains Carlos Affonso Souza, a lawyer and director of the Institute for Technology and Society in Rio. In the past, Brazilian judges have used such powers against major platforms. For example, in 2015 and 2016, Meta’s WhatsApp faced multiple shutdowns for refusing to comply with police data requests. Similarly, in 2022, de Moraes threatened Telegram with a nationwide shutdown for non-compliance.

Souza also points out that while a single judge’s decision to shut down a platform is significant, it would likely be reviewed by the Supreme Court’s full bench.

Possible Suspension Procedures

If de Moraes proceeds with his threat, he would first notify Brazil’s telecommunications regulator, Anatel. Anatel would then instruct internet operators, including Musk’s Starlink service, to block access to X. This would involve preventing domain name resolution and blocking access to X’s servers from Brazil. Given the high-profile nature of the standoff and the straightforward nature of the technical compliance, Belli suggests that X could be offline in Brazil within 12 hours of receiving such instructions.

Impact on Mobile Access and App Stores

Since many Brazilians access X via mobile phones, de Moraes is also likely to notify major app stores to remove X from their listings in Brazil. Affonso Souza also notes that a controversial step might involve blocking access via virtual private networks (VPNs) and imposing fines on users who bypass restrictions.

Global Context and Implications for X

X has faced bans in several countries, often under authoritarian regimes. China blocked Twitter (now X) in 2009, and Russia has targeted the platform in response to dissent and free media. Similarly, Iran banned Twitter following the 2009 protests, while countries like Pakistan, Turkey, and Egypt have temporarily suspended it to control dissent.

Brazil represents a significant market for X, with approximately 40 million users accessing the platform monthly, according to Emarketer. Musk, a proponent of free speech, views de Moraes’ actions as censorship and is rallying support from Brazil’s political right. Losing access to the Brazilian market could hinder Musk’s vision of X as a “global town square.”

Starlink’s Challenges in Brazil

In addition to the X dispute, Starlink faces its own challenges in Brazil. On Thursday, Starlink announced that de Moraes had frozen its finances in Brazil, preventing transactions in a country where it serves over 250,000 customers.

De Moraes’ supporters argue that his actions are lawful, aimed at protecting democracy amid rising threats. In April, he included Musk in an investigation into fake news dissemination and opened a separate probe into Musk for alleged obstruction.

X has indicated that it expects its service in Brazil to be shut down. The company also claimed that de Moraes’ colleagues on the Supreme Court are either unwilling or unable to challenge his decisions.