Elon Musk, the billionaire entrepreneur behind Tesla and SpaceX, has publicly floated the idea of acquiring the budget airline Ryanair, intensifying a heated exchange with the carrier's outspoken chief executive, Michael O'Leary. This dramatic escalation follows a week-long public spat ignited by a disagreement over the installation of Musk's Starlink satellite internet technology on Ryanair's extensive fleet of aircraft.
Fueling the Feud: Starlink and Fuel Costs
The conflict began when Michael O'Leary was questioned about adopting Starlink, similar to competitors like Lufthansa and British Airways. The Ryanair CEO firmly rejected the proposal, citing significant financial and operational concerns. He argued that adding the necessary antennae to their jets would result in a "2% fuel drag", translating to an additional $200 million to $250 million annually on their $5 billion kerosene bill. O'Leary dismissed Musk's expertise in aviation, bluntly stating in an Irish radio interview, "He's an idiot. Very wealthy, but he's still an idiot... What Elon Musk knows about flights and drag would be zero."
Musk's Retort and Takeover Tease
Elon Musk swiftly countered on his social media platform, X, labelling O'Leary's interpretation as "misinformed". The exchange quickly devolved into a series of insults, with each businessman calling the other an "idiot", and Musk suggesting O'Leary should be fired. The situation took a more serious turn on Friday when Musk posted a poll to his millions of followers, asking, "Should I buy Ryan Air and put someone whose actual name is Ryan in charge?" A follow-up poll queried whether he should "Buy Ryan Air and restore Ryan as their rightful ruler", a playful nod to the airline's late co-founder, Tony Ryan. Within hours, over three-quarters of nearly 900,000 respondents voted in favour of the idea.
Ryanair's Mockery and Musk's History of Acquisitions
Ryanair's official X account joined the fray, mocking Musk during a recent platform outage in the US with a post saying, "Perhaps you need Wi-Fi @elonmusk?" Musk responded provocatively, asking, "How much would it cost to buy you?" While this may seem like mere banter, Musk has a track record of turning such social media musings into reality. In 2017, after a journalist suggested he purchase Twitter, Musk famously inquired, "How much is it?" He ultimately acquired the platform for $44 billion nearly five years later, rebranding it as X.
Regulatory Hurdles and Industry Implications
However, any potential takeover faces significant legal obstacles. Under European Union regulations, airlines based within the bloc must be majority-owned by EU nationals or citizens of Switzerland, Norway, Iceland, or Liechtenstein. This rule could complicate Musk's ambitions, given his South African birth and current status. The dispute highlights broader tensions in the airline industry over balancing technological innovation with cost efficiency. O'Leary emphasised that passengers are unwilling to pay extra for in-flight Wi-Fi, stating it would add roughly a dollar per passenger, a cost Ryanair cannot absorb without passing it on.
As the war of words continues, with O'Leary noting he is "thankfully" too old for social media, the aviation and business worlds watch closely. Whether Musk's poll is a serious proposition or a strategic manoeuvre remains unclear, but it underscores his influential role in shaping debates across sectors from tech to transport.
