The Federal Aviation Administration (FAA) is reportedly on the verge of canceling a $2.4 billion contract with Verizon to overhaul the communication system for the nation's air traffic control system, instead awarding it to Starlink, a subsidiary of Elon Musk's SpaceX. According to sources briefed on the plans, a team from SpaceX has been working within the FAA to modernize the agency's aging technology system, and has recommended that the contract be awarded to Starlink.

The news has raised concerns about favoritism and conflict of interest, given Musk's involvement in the effort to slash spending and lay off federal workers. Musk has been vocal about his dissatisfaction with the Verizon system, claiming without evidence that it is "not working and so is putting air travelers at serious risk." He has also offered to provide Starlink terminals at "NO COST to the taxpayer on an emergency basis to restore air traffic control connectivity."

The FAA had previously awarded the contract to Verizon, but a decision on whether to start paying out the contract was scheduled for next month. However, the SpaceX team's recommendation has thrown the process into uncertainty. Several senior FAA officials have refused to sign the contract, leading Musk's team to seek help from a Trump appointee within the agency.

This development follows a pattern of Musk using his social media platform, X, to influence decisions within the FAA. Previously, he called for the resignation of FAA Administrator Michael Whitaker, who subsequently resigned on the day of Donald Trump's inauguration. Musk's companies have received approximately $38 billion in government contracts, loans, subsidies, and tax credits over the years, raising questions about the extent of his influence within the federal bureaucracy.

The air traffic control system has been under scrutiny in recent weeks, with four commercial aircraft crashes globally in the last 11 weeks, as well as a handful of private plane crashes and several near misses. The system appears to be in chaos, with hundreds of employees cut, despite air travel being safer than it has ever been before. The perception of a global aviation system coming apart at the seams has sparked concerns about the need for a reliable and efficient communication system.

The implications of this contract award are far-reaching, with potential consequences for the safety and efficiency of the nation's air traffic control system. As the story continues to unfold, it remains to be seen how the FAA will proceed with the contract, and what role Starlink will play in modernizing the agency's technology system.