Nathan Johnson, the Democratic candidate for Texas attorney general, has pledged to investigate Elon Musk's SpaceX if elected, following a controversial $110 million grant award for the Starlink satellite internet program. In an interview with the Dallas News on Friday, Johnson stated that the deal “sure looks like” corruption, calling for greater legislative scrutiny of the state's contract with the world's richest man.
Grant Controversy
Johnson, a state senator who won the Democratic primary runoff in May, highlighted that Texas Republicans awarded 99% of available grant funds to SpaceX, a company led by Musk, a prominent Donald Trump ally. “I am not declaring that corruption was at work in this instance. I am saying that it sure looks like it,” Johnson told the Dallas News. “Public confidence in the bidding process has been undermined.”
The grants were signed off by Republican Governor Greg Abbott after his office reportedly revised rules to favor low-Earth-orbit satellite providers. Records show Musk has made previous monetary donations to Abbott, but no direct link to the grants has been established.
Legislative Scrutiny
During a June hearing of the state senate's business and commerce committee, Johnson questioned members of the Texas broadband development office (BDO). Director Bryant Clayton conceded that changes to the grant-awarding process came at Abbott's behest. “The office of the governor asked us to look at how our proposed structure compared to other states,” Clayton said, according to KUT News. “Generally … we were out of step with other nearby states.”
Eight companies offering ground-based fiber broadband complained in a letter that they appeared to be excluded from the revised application process. Committee chair, Republican Charles Schwertner, acknowledged concerns: “I’ll just say it bluntly. Favoritism and transparency are real big concerns that have been brought to my office.”
Campaign Promises
Johnson has promised to overhaul the attorney general's office, currently led by scandal-ridden Republican Ken Paxton, who is running for the US Senate. He said he will work with the state comptroller to audit government contracts. His anti-corruption plan includes launching inquiries into the Starlink grants, effectively putting an investigation into Musk on the ballot, according to NBC News.
“The AG is supposed to ensure that government serves the public good over private interests, not the other way around,” Johnson posted on X in June, alongside a speech attacking his Republican opponent, Mayes Middleton, a Trump loyalist.
Defense of Grants
Governor Abbott defended the grants, stating they were directed to SpaceX because ground-based broadband solutions were costly and problematic. “Governor Abbott supports getting high-speed internet to rural Texans as quickly and cost-effectively as possible,” said Andrew Mahaleris, his press secretary, in a statement to KUT News. “Low Earth orbit satellite service is essential for the most remote areas where traditional fiber is too expensive and slow to build.”
The Guardian contacted SpaceX and Abbott's office for comment; neither responded to the Dallas News's requests for comment.
