Elon Musk wants to buy Ryanair: Vote for the takeover now!

Elon Musk wants to buy Ryanair: Vote for the takeover now!

Elon Musk is currently causing a lot of excitement in the aviation world. The CEO of Tesla and SpaceX asked his followers on Platform X whether he should buy Irish low-cost airline Ryanair. The formation of opinions among his followers is crucial for Musk's takeover plans. A look at the survey shows: Over 900,000 participants took part, and a good three quarters of them are in favor of buying the airline, which has a current market value of around 30 billion euros. That reports Radio Euskirchen.

But what is behind this surprising initiative? The dispute between Musk and Ryanair boss Michael O'Leary has a long history. Essentially, the question is whether Ryanair should use the Starlink satellite internet technology, which Musk sells, on its aircraft. O'Leary has made it clear that he rejects the idea. He sees the installation of Starlink antennas as an additional risk that could increase jet fuel costs to as much as $250 million a year. “Somehow this very rich idiot doesn’t know anything about airplanes,” O’Leary Musk commented in a radio interview, while Musk called the Ryanair boss an “idiot” who needs to be fired.

Costs and challenges

The dispute between the two business titans could not only put the aviation sector under discussion, but also make headlines. Ryanair pursues a cost leadership strategy based on a unified fleet and fast turnaround. This makes the airline stand out in a competitive market. Despite the exchange, O'Leary is sticking to his position and has said in an interview that he does not believe the use of Starlink is sustainable. The additional fuel consumption of 2%, which, according to O'Leary, could significantly impact the total annual fuel costs of $5 billion, is also a relevant point for him. Musk called that argument “misguided” and countered that O’Leary was wrong.

Would Musk actually be able to take over Ryanair? EU regulations state that airlines must be majority owned by EU citizens or citizens of Switzerland, Norway, Iceland or Liechtenstein. That could pose a hurdle for Musk, who was born in South Africa and currently lives in the United States. In addition, the probability that this takeover will actually be realized is rather low The shareholder reported.

Looking into the future

As if that wasn't enough, Ryanair responded to Musk's provocation with a mocking comment that made fun of X's supposed downtime in the US. Musk responded by asking how much it would cost to buy Ryanair. Despite the media hype, Ryanair's share price fell by almost 1% - a small reaction to the huge furore the dispute has caused. Interestingly, the Ryanair share price has risen by around 130% since 2023, making the airline one of the most successful listed airlines in Europe, like The Guardian highlights.

It will be interesting to see how the situation develops further. It remains to be seen whether the heated words between Musk and O'Leary lead to concrete negotiations. One thing is clear, however: This duel is far from over and could continue to keep both the aviation industry and the social media world on tenterhooks.