On Thursday, social media platform X, previously known as Twitter, warned that it expects Brazil’s Supreme Court to order its shutdown. This comes as a legal battle unfolds between the company and the Brazilian government over compliance with local laws. X’s owner, Elon Musk, has argued that the platform is being unfairly targeted for resisting what he calls censorship.
X announced that it anticipates Supreme Court Judge Alexandre de Moraes will soon issue a shutdown order after the company missed a court-imposed deadline to appoint a legal representative in Brazil. The deadline passed on Thursday evening, but as of midnight, the platform was still operational in the country.
Earlier in the day, the Supreme Court froze the local bank accounts of Musk’s Starlink satellite internet company. The legal conflict surrounding X has put the platform at risk of being shut down in one of its most significant markets.
On Thursday night, Musk took to X to criticize Judge Moraes, calling him an “evil dictator” in a pinned post. He condemned the decision to freeze Starlink’s accounts as illegal and claimed it unfairly punishes other shareholders and ordinary Brazilians. Musk also announced that SpaceX would provide free internet service to Brazilian users via Starlink “until this matter is resolved.”
According to a Supreme Court source, Judge Moraes’ decision to sanction Starlink was in response to X’s failure to appoint a legal representative in Brazil. The court also froze Starlink’s accounts due to unpaid fines related to X’s failure to provide certain documents. Local reports suggest the fines amount to at least 20 million reais ($3.6 million), though this has not been independently confirmed.
The Supreme Court had given X until 8:00 p.m. (2300 GMT) on Thursday to name a legal representative in Brazil. Under Brazilian law, all internet companies are required to have a legal representative in the country to handle judicial orders and be legally responsible for the business.
The core issue in this escalating dispute is whether Judge Moraes can order X to block certain accounts accused of spreading false information, a move Musk has criticized as censorship. Many of the accounts in question belong to supporters of former far-right President Jair Bolsonaro, some of whom deny his loss in the 2022 election.
The ongoing legal and digital disputes could result in X losing one of its largest and most valuable markets. This comes at a challenging time for Musk, who has been struggling to generate advertising revenue for the platform.
Earlier this month, X announced plans to close its operations and lay off its staff in Brazil due to what it described as “censorship orders” from Judge Moraes, though the platform would remain available to Brazilian users. At the time, X claimed that Moraes had secretly threatened one of the company’s legal representatives in Brazil with arrest if it did not comply with orders to remove certain content.
In response to X’s actions, Brazil’s President Luiz Inácio Lula da Silva posted links to six other social media accounts late on Thursday, indirectly criticizing X.
Judge Moraes has emphasized that companies failing to comply with local laws or protect private information could face temporary suspension of their activities. Earlier this year, he ordered X to block certain accounts involved in investigations of digital militias accused of spreading misinformation and hate during Bolsonaro’s presidency.
After Musk initially challenged that decision, saying he would reactivate accounts that had been blocked, Moraes launched an inquiry into Musk’s businesses in April. X eventually agreed to comply with the court’s rulings, but Judge Moraes later asked the company to explain why it had not fully adhered to the orders.
As the legal battle continues, many Brazilians have taken to X to share their opinions, with some creating humorous memes about the conflict between the judge and Musk. While some users argue that Moraes’ ruling undermines free speech, others believe Musk should comply with Brazilian law.
