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California Regulators Apologize to Musk, Settle SpaceX Lawsuit

In a surprising turn of events, the California Coastal Commission has issued an apology to SpaceX CEO Elon Musk, following a settlement of a lawsuit that accused the agency of political discrimination. The lawsuit, which attracted significant attention, centered around the commission’s alleged bias against Musk’s political views during a hearing on SpaceX’s Falcon 9 launch program.

As part of the settlement, the commission recognized that its members had made “improper” comments regarding Musk’s political beliefs during the 2024 hearing. “The commission agrees that it may not consider irrelevant factors in performing its function and specifically agrees that it will not take into account the perceived political beliefs, political speech or labor practices of SpaceX or its officers in considering any regulatory action concerning SpaceX,” stated the commission in documents filed in federal court on Tuesday.

SpaceX initiated legal action against the commission, accusing it of bias against a U.S. Air Force proposal aimed at increasing the number of Falcon 9 launches from Vandenberg Space Force Base. The lawsuit claimed that opposition from the commission was due to Musk’s outspoken political views, thereby infringing upon SpaceX’s constitutional rights to free speech and due process.

The settlement, however, does not imply any admission of liability or unlawful conduct by either party, as the case will be permanently dismissed. Furthermore, the commission has agreed to refrain from requiring a coastal development permit for SpaceX’s launch activities in California. SpaceX has yet to comment on this development.

In a statement released Wednesday, the coastal commission acknowledged its apology for the “irrelevant” statements made and reiterated its concerns about the environmental impact of increased launches on coastal resources. “These impacts include restrictions on public coastal access, harm to sensitive species and coastal habitat, as well as the frequency and intensity of sonic booms,” the statement mentioned. The commission emphasized the need for more information from the federal government to assess these impacts adequately.

This settlement occurs amid another legal battle involving Musk, as he recently took the stand in a separate case with OpenAI cofounder Sam Altman. This ongoing trial could potentially impact the future development of artificial intelligence.