Published by Global Banking and Finance Review
Posted on January 10, 2025
By Angelo Amante
ROME (Reuters) -Italian Prime Minister Giorgia Meloni defended Elon Musk's growing involvement in politics on Thursday and said she had never discussed with him a potential deal to supply secure communications to Italy.
The right-wing leader dismissed concerns about political interference as the U.S. tech billionaire, an ally of President-elect Donald Trump, steps up his comments on European politics on his social media site X.
Meloni has a good relationship with Musk and those ties are in the spotlight in Italy as the government weighs up a possible contract relying on Starlink, part of Musk's SpaceX business.
"I evaluate foreign investments through a single lens, which is the lens of national interest, not friendships or political ideas of those who may invest," Meloni said.
"I also take this opportunity to tell you that I have never personally spoken with Elon Musk about these matters," Meloni added during a 2-1/2 hour press conference when the subject of Musk was repeatedly raised.
SpaceX is discussing a five-year deal worth a total 1.5 billion euros ($1.6 billion), a source with knowledge of the matter said. The project has been sharply criticised by opposition parties questioning whether the handling of such communications should be entrusted to a Musk company.
"We are simply in the investigative phase, which is why I don't understand all the accusations that have been made. Is the problem with SpaceX that it's a private company, or is it Elon Musk's political ideas?" Meloni added.
NO DANGER TO DEMOCRACY
Italy is evaluating the use of Musk's space-based telecommunications system to provide secure communications between the government, Italian diplomats and defence officials operating in sensitive areas across the Mediterranean.
Meloni said Italy faced a dilemma over how to protect its sensitive communications as there are currently no Italian or EU-backed alternative systems to Starlink.
Full rollout of the EU's IRIS2 (Iris squared) satellite constellation is not expected before the end of 2030.
"Either we talk to a private company or we do not protect this data. What is the preferable scenario between two sub-optimal scenarios?" said Meloni.
Musk has been setting the political agenda with attacks on British Prime Minister Keir Starmer and his endorsement of the far-right AfD party ahead of an election in Germany next month.
But Meloni defended Musk's right to speak his mind.
"I do not see this danger to democracy. Elon Musk is a very well-known and wealthy person who expresses his ideas," Meloni said.
(Reporting by Angelo Amante; Writing by Keith Weir and Giselda Vagnoni; Editing by Crispian Balmer and Andrea Ricci)
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