Varney & Co. host Stuart Varney discusses the general public feud between President Donald Trump and Elon Musk.
Billionaire entrepreneur Elon Musk’s public falling out with President Donald Trump put a highlight on the federal government funding that Musk’s firms have obtained through the years.
The spat started with Musk’s vocal criticism of the Republican tax package deal making its manner by way of Congress over its deficit impression – projected to achieve $2.4 trillion over a decade – which Musk’s Division of Authorities Effectivity (DOGE) has sought to shrink by different means.
As the 2 traded barbs over their respective social media platforms, Trump wrote on Reality Social that, “The simplest manner to economize in our Funds, Billions and Billions of {Dollars}, is to terminate Elon’s Governmental Subsidies and Contracts. I used to be at all times shocked that Biden did not do it!”
Two of Musk’s companies – electrical automobile (EV) maker Tesla and area exploration firm SpaceX – have been distinguished beneficiaries of presidency subsidies and contracts, receiving tens of billions of {dollars} in funds since their inception.
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Elon Musk, the CEO of SpaceX and Tesla, is embroiled in a bitter feud with President Donald Trump, who he supported within the 2024 election. (Richard Bord/WireImage / Getty Photographs)
A lot of the federal government funding Tesla has obtained is tied to EV credit and power infrastructure, whereas SpaceX has emerged as a vital contractor for NASA and the House Drive, with its Dragon spacecraft ferrying astronauts and cargo to the Worldwide House Station in addition to growing a moon lander.
An evaluation by The Washington Submit discovered that Musk and his companies have obtained $38 billion within the type of authorities contracts, loans, subsidies and tax credit over greater than 20 years that helped propel their progress.
The Submit discovered that just about two-thirds of the $38 billion in funds have been allotted to Musk’s firms inside the final 5 years. It added that in 2024, federal and native governments supplied no less than $6.3 billion to Musk’s firms, the best quantity so far.
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Tesla has benefited from authorities subsidies and tax credit aimed toward spurring the electrical automobile (EV) business. (Yichuan Cao/NurPhoto by way of Getty Photographs)
SpaceX has obtained no less than $1 billion in authorities contracts, loans, subsidies and tax credit annually since 2016, and between $2 billion and $4 billion a 12 months from 2021 to 2024 – whereas Tesla has obtained over $1 billion a 12 months since 2020, the Submit discovered.
The outlet famous that the businesses have probably obtained further funding and contracts that are not publicly disclosed, equivalent to categorised contracts for protection and intelligence actions.
Reuters beforehand reported that SpaceX obtained a Division of Protection contract to develop spy satellites.
The Wall Road Journal reported that the intelligence satellite tv for pc contract is valued at $1.8 billion, in response to firm paperwork.
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SpaceX’s Dragon capsule is the one U.S. spacecraft at present able to missions to the Worldwide House Station. (NASA/Keegan Barber / Fox Information)
Federal spending and contract knowledge present that since 2008, SpaceX has been awarded over $20 billion in authorities contracts and funding commitments, of which practically $9 billion has been paid.
The Unbiased famous that the overall worth of these SpaceX contracts may rise to greater than $89 billion if accomplished.
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The important function of SpaceX’s Dragon spacecraft got here up amid the Trump-Musk feud, as Musk replied in response to Trump’s menace of canceling all his federal contracts and subsidies by suggesting the corporate would start to instantly decommission the Dragon – which is the one operational U.S. spacecraft in operation able to missions to the Worldwide House Station.
Musk later backtracked on his retaliatory menace, saying SpaceX will not decommission the Dragon.
Reuters contributed to this report.
