California regulators apologizes to Elon Musk, settles SpaceX lawsuit
California’s coastal watchdog has walked back its stance in a legal clash with Elon Musk, conceding that comments made during a key hearing crossed the line into improper territory.
In a settlement reached this week, the California Coastal Commission issued an apology and formally acknowledged that its members made “improper” remarks about Musk’s political views while reviewing SpaceX operations in 2024.
The dispute revolved around how the commission handled the Falcon 9 launch program. In filings submitted Tuesday, the agency clarified its position going forward: “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.”
The lawsuit stemmed from the commission’s resistance to plans that would have increased the frequency of Falcon 9 launches from Vandenberg Space Force Base along the Southern California coast near Santa Barbara. SpaceX argued that the decision blocked a proposal backed by the U.S. Air Force to expand activity at the federally owned facility.
In court, the company accused regulators of letting politics shape their judgment, claiming commissioners opposed the expansion because of Musk’s public views. The suit framed that as a violation of constitutional protections, including free speech and due process.
Under the agreement, the case will be permanently dismissed, with both sides emphasizing the outcome does not amount to an admission “of any liability or unlawful conduct.” The commission also agreed it will not require a coastal development permit tied to SpaceX’s launch operations.
While stepping back from its earlier remarks, the commission maintained it still has environmental concerns about ramping up launch activity at Vandenberg. In a statement, it pointed to issues such as limits on public access to coastal areas, risks to sensitive wildlife and habitats, and the growing frequency of sonic booms.
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“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 said. “Federal law requires the federal government to provide information to and coordinate with the Coastal Commission on such issues. The federal government has yet to provide sufficient information to the Coastal Commission about these activities and their impact on the California coast.”
The settlement unfolded as Musk appeared in court in a separate dispute involving Sam Altman, a case that could influence how artificial intelligence development is governed in the years ahead.
