Business tycoon Elon Musk and former U.S. President Donald Trump have reached a financial settlement, concluding the legal battle Trump had against the social network X (formerly known as Twitter). The agreed sum, totaling $10 million, resolves the dispute stemming from Trump's ban on the platform in January 2021.
The clash between Trump and the former Twitter began after the January 6, 2021, Capitol riot when the platform decided to suspend the then-president's account, citing that his presence posed a "risk of further incitement of violence." In response, Trump argued that the action violated the First Amendment of the U.S. Constitution, which safeguards free speech.
In July 2021, Trump, who was by then the former president, filed a lawsuit against the company, claiming that his removal from the platform was unjust censorship. However, in May 2022, a federal judge in California dismissed the lawsuit, stating that Twitter was a private entity and thus not subject to First Amendment constraints. Despite the ruling, Trump appealed and continued the legal fight.
Resolving the Legal Dispute Without a Trial
With Elon Musk's acquisition of Twitter at the end of 2022 for a hefty $44 billion, the South African-born entrepreneur decided to reinstate Trump's account on X. Nevertheless, the former president chose to remain active on Truth Social, the platform he established after being banned from major social media networks.
The financial agreement between Trump and Musk resolves the legal conflict without going to trial. According to reports by The Wall Street Journal, Trump's team initially considered withdrawing the lawsuit due to the close relationship between the two businessmen. Musk, who invested $250 million in the Republican's campaign, has held the position of director of the Department of Government Efficiency (DOGE) since the start of Trump's second term, an entity created to reduce public spending and bureaucracy.
Trump's Ongoing Battles with Tech Giants
This is not the only legal skirmish where Trump has secured financial compensation due to being banned from social media. On January 29, The Wall Street Journal disclosed that Meta, the parent company of Facebook and Instagram, agreed to pay $25 million to settle a lawsuit filed by Trump in 2021 following his expulsion from these platforms. Of this amount, $22 million is allocated to fund the presidential library, with the remainder covering legal expenses and compensations for others affected.
The last tweet Trump posted before being banned on January 8, 2021, stated, "To all of those who have asked, I will not be going to the Inauguration on January 20th." This announcement, coupled with his comments following the Capitol attack, was seen by the platform as inciting violence, leading to his suspension.
The Impact of Musk's Role in the Trump Administration
Since the last electoral campaign, Elon Musk has emerged as a vital ally for Trump, sparking speculation about his influence on American politics. His appointment as the head of the DOGE has amplified his sway within the administration, especially on matters concerning government spending cuts and the restructuring of federal agencies.
With the settlement reached with X, Trump marks another victory in his ongoing struggle against tech giants, whom he has repeatedly accused of attempting to silence him and his supporters.
Understanding the Legal Settlements and Political Implications
What was the reason behind Trump's Twitter ban?
Trump's Twitter account was suspended following the Capitol riot on January 6, 2021, due to concerns about further incitement of violence.
How much did Elon Musk pay to settle the dispute with Trump?
Elon Musk agreed to a $10 million settlement to resolve the legal battle with Trump.
What role does Elon Musk play in the Trump administration?
Musk has been appointed as the director of the Department of Government Efficiency (DOGE), focusing on reducing public spending and bureaucracy.