Former U.S. Labor Secretary Robert Reich wants Democrats to nationalize Elon Musk's Space Exploration Technologies Corp. (NASDAQ:SPCX) and Starlink, arguing the billionaire wields excessive influence over American politics and national security. Musk responded Sunday by calling the proposal criminal and demanding Reich's imprisonment.
Robert Reich Wants SpaceX and Starlink Nationalized, Musk Calls It 'Stealing Companies' and Demands Prison
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Musk Fires Back: 'Prison for Reich'
"Stealing companies is a serious crime. Prison for Reich," Musk wrote on X, responding to Reich's remarks on a recent episode of The Coffee Klatch podcast.
"Defund Musk. I mean this," Reich told co-host Heather Lofthouse, urging a future Democratic administration to begin "laying the groundwork for nationalizing Starlink and SpaceX. Nationalize it."
"It should be a public corporation. We should not ever have that kind of power in one person's hands, one private person's hands," he added. Reich also accused Musk of attempting to influence a Texas Senate race, asking, "Why should we allow this, seriously?" He previously called SpaceX's initial public offering a potential Ponzi scheme, questioning its valuation and governance.
Reich Compares Musk To Robber Barons
Reich described Musk as "Exhibit A" of America's billionaire takeover, declaring, "Musk represents the power of oligarchy in America over democracy." He compared Musk with Gilded Age "robber barons," accusing him of leveraging wealth to shape government decisions and political outcomes.
Reich also predicted Democrats would scrutinize Musk if they gained congressional control, saying the billionaire could use his social media following and litigation to resist investigations. His remarks follow Sen. Bernie Sanders' (I-Vt.) criticism of Musk's political spending ahead of November's midterm elections.
Starlink's Military Role Fuels Political Scrutiny
Reich's proposal comes amid controversy over Ukraine's disrupted Starlink connectivity. Recent restrictions on Starshield and Starlink services have disrupted Ukrainian military operations, while questions remain over who authorized the restrictions and whether they originated with SpaceX, the Pentagon or another U.S. government entity.
Republican Sen. Thom Tillis (R-N.C.) previously sought a Pentagon investigation, while Democrats have discussed broader scrutiny of Musk's federal contracts and political activities.
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