Will Elon Musk’s Interest in German Politics End Up Harming X?

Of all his political targets and criticisms of the leadership of various nations, Elon Musk’s recent criticism of the German government might be the strangest.

Or perhaps “riskiest” is a more appropriate term.

In recent weeks, Musk has been vocal in his support the controversial right-wing German political party AfDeven hosting a live broadcast with AfD leader Alice Weidel and giving the party a mainstream, international platform through its massive X following.

But meddling in German politics is particularly risky for Musk, not least because of X, and the impact it could have on the platform if German officials see him meddling in domestic politics (German officials are said to be considering disconnects from X due to Musk’s effort).

But also because Tesla’s key European factory is located in Berlin. And as such, the German government could make things very difficult for Musk if it decides that his influence needs to be curtailed.

Although that didn’t necessarily stop Musk before.

In early 2023, shortly after Musk took over management of the platform, German officials threatened X with significant fines over his failure to in accordance with national requirements for the removal of hate speech. It came out of Musk’s revised approach to content moderation, and Germany appeared to want to ensure that Musk’s new approach to free speech was also aligned with its own rules and regulations.

Since then, however, X apparently was more and more ready to comply with requests from German regulators, which included providing user data to German authorities for their investigations into possible violations of national hate speech laws.

And given Tesla’s reliance on Germany for its EU operations, it makes sense. But this new anti-government move by Musk seems to be completely against that.

Will it affect Musk’s broader business ventures and attract the attention of Tesla shareholders as a result?

This is the first time that Musk has taken over the government in a country that Tesla relies on, and considering the various regulatory challenges that Telsa has in the regioncould end up being a very problematic choice for the eccentric billionaire.

Really, German anti-discrimination commissioner Ferda Ataman is now calling on the German government to abandon X altogetherwhile various high-profile German organizations and users have abandoned the app in response to Musk’s political views.

For context, X has an eye 14 million users in Germany. And while an outright regional ban on the app seems unlikely, it’s another potential risk from Musk’s overt efforts to influence local politics.

And while Musk currently feels empowered, having helped Trump win in the US, and is likely eyeing similar opportunities to seize power in other markets, he could also be close to biting the hand that feeds him and his companies, especially if AfD does not manage to participate in the next elections.

The effects of that could backfire significantly. But then again, in the case of the US, they could give Musk significantly more political power and influence.

It’s the high-risk, high-reward approach that Musk is known for. But it could just as easily end up destroying X and thwarting his other overseas business ventures.