Exporting Oligarchy: Lessons from Elon’s Free Speech Battle in Brazil

The City of Seattle takes great pride in remaining at the forefront of technological innovation. But, while its tech titans are focused on the next breakthrough in artificial intelligence or cloud computing, a controversy taking place in Brazil ––the largest country in Latin America–– serves as a pivotal reminder of the global reach and responsibility of the city’s homegrown tech industry. Elon Musk, the brash, South-African born, American business mogul has recently been engaged in a battle with Brazil’s Supreme Court. Justices on that court recently imposed a ban on one of Musk’s numerous multinational businesses ––in this case, the social media platform, X (formerly known as Twitter). The ban came in response to the Brazilian Supreme Court’s efforts to mitigate the dangerous effects of mis- and disinformation within the country. The Court has suspended numerous X accounts in recent years, many of which were allegedly peddling disinformation in support of Brazil’s former right-wing president, Jair Bolsonaro. After X stopped complying with the Court’s takedown orders, the Court ordered X to name a legal representative in Brazil. Upon Musk’s direction, the platform failed to comply and a brief ban (Musk has since yielded to the Court’s demands) of X ensued.  

To be sure, Musk is not a citizen of Brazil and has no clear ties to that nation, other than the fact that at least two of his multinational businesses ––namely, X and Starlink–– have the privilege of operating in that country. As with most transnational businesses, companies such as X must generally comply with the laws and policies of the countries in which they do business. Yet, as with other social media platforms, for several years now (both before and after Musk purchased the platform in 2022) X has been recognized as a purveyor of mis- and disinformation in Brazil.

Musk identifies as a “free speech absolutist” ––someone who opposes any government limitations on speech–– and, because of its efforts to mitigate disinformation stemming from his platform, has accused members of Brazil’s Supreme Court of stifling online speech in that country. However, as a sovereign territory, Brazil’s free speech legislation differs considerably from that of the United States. For instance, unlike the U.S., racism is considered a crime in Brazil and, although its constitution recognizes the right to freedom of speech and expression, such freedoms are not absolute in instances of racial prejudice. The idea behind this limitation is that democracy is strengthened when historically disenfranchised groups and other diverse populations are protected by their country’s laws and regulations.  

Since Musk purchased X in 2022, he has scaled back content moderation on the site, which has increasingly become a worldwide hotbed for hate groups, far-right content, and polarizing disinformation. While lawmakers in the U.S. have largely failed to take any steps to regulate the platform, such domestic inaction does not prevent countries like Brazil from taking steps to curb the harmful effects of disinformation within their borders. Moreover, when billionaire moguls like Musk ––who, in addition to X and Starlink, also owns the multinationals, Tesla and SpaceX–– use their considerable influence to challenge democratic regimes in regions outside of the U.S., it heightens the potential for global oligarchy in a world already experiencing an upswing in democratic decay. 

Musk’s feud with Brazilian lawmakers is not merely some distant digital drama. Rather, it is a potential harbinger of the challenges that Seattle-based titans like Microsoft and Amazon may soon face on the international stage. As the city solidifies its position as a global technological hub, it must consider whether its tech giants are prepared for the (anti)democratic repercussions of the code they create.