Sure he can. In an ideal world (from the US gov't's perspective), all communications everywhere would be encrypted, and only they'd have the workarounds to access the data anyway.
I'm not being sarcastic. For real, what major government wouldn't want that in their favor?
They care about maybe a maximum of five having that access, and I'm sure they realize that #1 on that list (PRC) won't need much time to become a peer on any given technology.
They're just against EU asserting any kind of control over American companies.
Reminder that he's funded by Thiel and friends with Curtis Yarvin, which goals include the end of democracy and the federal state and replace the system with tech CEO kings over feudal states.
I feel like the federal government continuously consolidating all data available under groups like DODGE or ICE or Palantir is about as anti privacy as it gets.