Ryanair’s chief executive, Michael O’Leary, recently dismissed the possibility of installing SpaceX’s Starlink internet service on the airline’s aircraft, citing the high cost of the required antennas. His comments sparked a notable exchange with Elon Musk, the founder of SpaceX, who suggested he might consider purchasing the airline, primarily to oust O’Leary, whom he referred to as an “utter idiot.” This unusual feud between two high-profile figures quickly gained attention on social media.
The back-and-forth began when O’Leary criticized Musk’s knowledge of aviation, calling X/Twitter a “cesspit.” In response, Musk conducted a poll asking if he should buy Ryanair and restore its founder, Tony Ryan, as “their rightful ruler.” Ryan passed away in 2007, adding a layer of absurdity to the exchange.
O’Leary has expressed concerns about the potential operational impact of installing Starlink antennas, suggesting they would create a “2% fuel drag.” This additional drag could cost Ryanair between $200-$250 million annually, impacting the airline’s overall $5 billion fuel expenditures. He emphasized that the cost was not something the airline could recover, making the installation economically unfeasible.
Despite the dramatic exchanges, analysts are skeptical about the seriousness of Musk’s intentions. According to Peter Campbell from the Financial Times, while Musk is known for following through on ambitious business threats—such as with Twitter in 2022—this buyout suggestion might be more for show. Ryanair’s stock has remained stable amidst the speculation, indicating that investors do not consider the idea a credible threat.
Acquiring Ryanair, which has a market valuation of approximately $35 billion, would pose significant challenges for Musk. He would not only need to secure substantial financial backing but also navigate complex regulatory hurdles. Under European Union (EU) regulations, airlines operating within the bloc must be majority-owned by European nationals, complicating any potential purchase by Musk, who is based in the United States.
As the exchange continues to capture public interest, it remains to be seen whether Musk will escalate his comments about Ryanair or if this incident will become a mere footnote in the ongoing saga of two of the business world’s most provocative leaders.
