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Elon Musk Holds Town Hall With Pennsylvania Voters in Lancaster
(Samuel Corum/Getty Images)
MUSK.GOV

Elon Musk: Government support for me, but not for thee

Musk’s businesses have all benefited greatly from government loans and subsidies.

Jon Keegan
2/6/25 3:18PM

As Tesla CEO Elon Musk’s DOGE team gains access to US government agencies’ computer systems to root out suspected waste and fraud, Musk and his supporters appear to be SHOCKED to find that the government pays money to businesses for things like subscriptions to news publications.

President Trump posted on Truth Social today that finding $8 million worth of government subscriptions to the widely read Politico Pro newsletter could be “THE BIGGEST SCANDAL OF THEM ALL.”

Musk has been updating his followers on X with examples of government spending he finds outrageous, including government support of National Public Radio.

The nature of the government financial support that NPR receives is a little complicated, as federal law mandates the Corporation for Public Broadcasting to distribute funds to local public TV and radio stations, which in turn choose to pay NPR to license programming like “Morning Edition” and “All Things Considered.”

NPR’s website says that “on average, less than 1% of NPRs annual operating budget comes in the form of grants from CPB and federal agencies and departments.”

Basically, a federal law passed by Congress in 1976 created public funding infrastructure to serve the public good, and a portion of those funds flow to NPR, which is largely supported by corporate sponsorships, programming fees, and listener donations.

Musk.gov

But much of Musk’s vast business empire might not exist were it not for significant taxpayer support in the form of loans and subsidies.

Tesla

  • In 2010, the Obama administration agreed to loan pre-IPO Tesla $465 million through the US Department of Energy to expand its business and support a domestic EV industry. Tesla paid the loan back in 2013, a year early (resulting in a penalty).

  • Tesla received $64 million in state and local tax incentives for its Texas Gigafactory.

  • Tesla has received over $41.9 million in federal contracts since 2008.

  • Tesla has benefited from state government incentives related to its factories, such as Nevada’s $1.3 billion incentives for its sprawling Nevada Gigafactory — including another $330 million to expand the facility.

Yet Musk is calling for an end to the $7,500 EV tax credit that his company benefits from, tweeting, “Take away the subsidies. It will only help Tesla.”

SpaceX

Musk’s SpaceX counts the US government as a key customer for launching satellites and sending astronauts and supplies to the International Space Station.

  • SpaceX has received over $18.5 billion in revenue from the Department of Defense and NASA.

  • SpaceX’s Starlink has government contracts for supplying space-based internet to Ukrainian troops through the DOD.

  • Starlink also had contracts with USAID, the current target of Musk’s cost-cutting campaign.

Musk’s business entanglements with government agencies are now under increased scrutiny as lawmakers scramble to understand what exactly Musk’s team of teenage staffers are doing with newly granted access to several government agencies.

Yesterday, in his capacity as ranking member of the Senate Permanent Subcommittee on Investigations, Senator Richard Blumenthal sent letters to six of Musk’s companies (Tesla, SpaceX, X, xAI, The Boring Company, and Neuralink) demanding information surrounding possible conflicts of interests arising from Musk’s DOGE activities.

Blumenthal wrote:

“Mr. Musk’s dual roles — running a for-profit corporation while serving in public office — not only create glaring conflicts of interest that pose grave risks for America’s most sacred institutions, but may also violate federal law… PSI is conducting a preliminary inquiry into DOGE and the ramifications of its conduct. ”

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The DOJ is suing Uber, alleging the company discriminates against passengers with disabilities

The Department of Justice has filed a lawsuit against Uber on Thursday, alleging that the company routinely and illegally discriminates against passengers with physical disabilities.

The lawsuit, filed in federal court in San Francisco, alleges that Uber’s drivers regularly refuse service to passengers with service animals and stowable wheelchairs. Some passengers are charged cleaning fees for service animals and cancellation fees after being refused a ride, the lawsuit alleges. According to the complaint, others are insulted or denied requests like sitting in the front seat due to mobility issues.

“Ubers discriminatory conduct has caused significant economic, emotional, and physical harm to individuals with disabilities,” the lawsuit reads.

A survey last year by the organization Guide Dogs for the Blind found that more than 83% of people who are blind or visually impaired said they’ve been denied ride-share service.

In a statement to Bloomberg, Uber disagreed with the lawsuit, saying it has a “zero-tolerance policy for confirmed service denials.”

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Draft Senate bill gives AI companies a two-year pass on federal regulation, Bloomberg reports

Bloomberg reports that a draft bill from Senator Ted Cruz would give AI companies a two-year pass from any federal regulation when they apply to be part of a White House-controlled “regulatory sandbox.” Such a regulatory framework frees participating companies from federal agency oversight while simultaneously handing President Trump broad powers to shape a still nascent and increasingly powerful industry.

The draft bill allows companies approved for the waiver to request renewals for up to eight years, according to the report.

The fast-moving generative-AI boom that took the tech world by storm was kicked off by the release of OpenAI’s ChatGPT less than three years ago. A potential decade free of federal regulations would be a huge win for companies like Meta, Google, OpenAI, and Amazon.

In July, the US Senate voted 99-1 to kill a planned provision from President Trump’s massive tax bill that would have prevented any state from regulating AI for 10 years.

The fast-moving generative-AI boom that took the tech world by storm was kicked off by the release of OpenAI’s ChatGPT less than three years ago. A potential decade free of federal regulations would be a huge win for companies like Meta, Google, OpenAI, and Amazon.

In July, the US Senate voted 99-1 to kill a planned provision from President Trump’s massive tax bill that would have prevented any state from regulating AI for 10 years.

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Airbus faces a 10-day strike from UK workers, mirroring Boeing’s labor strife

Thousands of UK union Airbus workers plan to strike for 10 days in September amid a contract dispute.

The union workers build wings for Airbus’ commercial jets, threatening a production slowdown for the European plane maker.

As Airbus’ labor tension builds, rival Boeing’s has already boiled over: earlier this month, more than 3,000 Boeing workers who build military aircraft started a strike that remains ongoing. The action came less than a year after the company faced a two-month stoppage from a machinist strike.

Airbus, for now, says it doesn’t see the strikes affecting full-year deliveries.

As Airbus’ labor tension builds, rival Boeing’s has already boiled over: earlier this month, more than 3,000 Boeing workers who build military aircraft started a strike that remains ongoing. The action came less than a year after the company faced a two-month stoppage from a machinist strike.

Airbus, for now, says it doesn’t see the strikes affecting full-year deliveries.

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