In a public exchange that stirred significant attention across the aviation and technology sectors, Ryanair's Chief Executive Officer Michael O'Leary dismissed billionaire entrepreneur Elon Musk's notion of acquiring the budget airline, following a dispute surrounding the proposed installation of Musk's Starlink satellite Wi-Fi system on Ryanair aircraft.
The disagreement intensified over several days after O'Leary expressed concerns that incorporating the Starlink system would impose an excessive fuel penalty due to the added aerodynamic drag of the antennas, rendering the installation uneconomical for Ryanair. Specifically, O'Leary indicated that the fuel consumption increase attributable to the antennas' drag would raise the annual fuel expenses by an estimated $200 million, contributing to an overall estimated $250 million in additional yearly costs when factoring in installation and maintenance.
Reacting to O'Leary's public remarks, Musk criticized the Ryanair CEO on social media platform X, branding him with harsh epithets. Musk escalated the exchange by sarcastically inquiring whether he should acquire Ryanair and appoint an executive named Ryan to manage it, concurrently engaging his followers with a poll regarding the acquisition idea, which yielded approximately 76.5% affirmative responses.
Situated in Dublin, Ryanair headquarters clarified legal constraints that prohibit majority ownership of European airlines by non-European citizens, citing Musk's South African origins and United States residency as limiting factors in any potential acquisition. Despite this regulatory hurdle, O'Leary indicated openness to Musk investing financially in the airline, emphasizing that such an investment would likely offer superior financial returns compared to Musk's current earnings from managing X.
Since acquiring X in 2022 for $44 billion, Musk has experienced tensions with existing executives at the formerly Twitter-branded platform. O'Leary, known for his candid and provocative style, acknowledged Musk's involvement in the dispute by attributing it to increased publicity for Ryanair. Capitalizing on the scenario, the airline launched a promotional campaign featuring Musk's caricature alongside discounted seat offers.
O'Leary downplayed Musk's personal insults, noting that the billionaire would be just one among many, including members of his family, who have previously directed similar remarks at him. This illustrates O'Leary's familiarity with managing public provocations in his corporate communications.
Regarding the Starlink installation talks held over approximately a year, O'Leary acknowledged the technical effectiveness of the satellite internet system, describing it as a "terrific system". However, he stressed the prohibitive costs involved with outfitting aircraft with two antennas each, and the additional fuel burned because of the associated aerodynamic drag. Considering Ryanair’s average flight duration is about one hour and fifteen minutes, O'Leary predicted a modest passenger uptake on paid Starlink services, estimating fewer than 5% would pay extra, thereby rendering the overall business case unfavorable.
Meanwhile, Ryanair is exploring alternative telecommunications partnerships, including Amazon’s forthcoming Starlink competitor Kuiper. O'Leary indicated that any such onboard internet implementation must be structured to reduce costs rather than increase them, maintaining the airline’s low-cost business model.
Further, O'Leary expressed concerns about social media, particularly referencing X, calling it a "cesspit," in light of recent controversies involving Musk's AI chatbot Grok, which has been implicated in generating nonconsensual deepfake images portraying inappropriate content. These remarks underscore growing anxieties about the reputational risks and ethical considerations tied to emerging digital technologies affiliated with Musk.