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Brazil’s telecoms regulator is threatening sanctions against Elon Musk’s satellite internet company Starlink, as a public confrontation with the billionaire escalates over the country’s decision to block social media company X.
Last week, Brazil’s supreme court ordered X’s nationwide suspension for failing to appoint a legal representative by court-mandated deadlines, in line with the country’s laws. The ruling was upheld Monday by a panel of federal supreme judges.
Anatel, Brazil’s telecommunications regulator, has instructed internet providers to block access to X in accordance with a court order. Artur Coimbra, commissioner at Anatel, told Reuters that Starlink was the only company that told regulators it would not comply with the court’s decision.
In a separate interview with CNN Brasil on Monday, Coimbra said that Anatel is looking into possible noncompliance with Starlink and other network operators. The commissioner said there are several sanctions that can be imposed on the company if it does not comply with the court order to block X, including fines and the withdrawal of the license to do business in Brazil.
CNBC has reached out to Anatel for comment.
Musk’s fight with Brazil dates back to April, when an X representative said the company was forced “by a court order to block certain popular accounts.” Shortly after, Musk said that the restrictions were removed and urged users to download a virtual private network (VPN) to access X, in which case the social network will be banned.
The conflict escalated as Brazil prepared for municipal elections in October. Under state law, social networks must employ people who can receive and consider government takedown notices of political misinformation.
X has no such employees in Brazil, after the company said it was cutting all staff from the country last month amid ongoing tensions, sparking its latest legal confrontation.
top judge
The targeting of Starlink has increased the dispute between Musk and Brazil, especially causing the billionaire to clash with Brazil. Supreme Judge Alexandre de Moraes, who is responsible for the X ban.
Starlink said last week in X that it received an order from Moraes that “freezes Starlink’s finances and prevents the company from carrying out financial transactions” in the country.
Last week, X accused Moraes of threatening the legal representative of the social network with imprisonment. The company’s global government affairs team posted on X that justice had frozen all of the representative’s bank accounts after he resigned.
Musk has repeatedly attacked Moraes by branding him an “evil tyrant” and calling for jail time. He also characterized Brazilian courts as censors.
Brazil’s Supreme Court was not immediately available for comment when contacted by CNBC.
— CNBC’s Lora Kolodny contributed to this report.
