FYI: Elon Musk defends Tesla’s and SpaceX’s funding sources amidst a spirited exchange on social media.
Elon Musk recently shared his views on government subsidies in relation to Tesla and SpaceX during a lively discussion on X (formerly Twitter). Engaging in a debate with Vinod Khosla of Khosla Ventures, the conversation spanned topics from illegal immigration to subsidies for electric vehicles (EVs) and space exploration.
Musk Defends Funding for Tesla and SpaceX
The dialogue turned pointed when Khosla questioned whether Tesla could have thrived without EV subsidies and inquired about the extent of government funding SpaceX receives. Khosla asked:
“How much government money does SpaceX get? Could Tesla have survived without EV subsidies?”
Musk’s response was unequivocal, stressing that SpaceX does not benefit from subsidies, and Tesla’s revenue from EV incentives is minimal. He also highlighted the substantial tax breaks received by oil and gas companies in comparison.
“Do some research before you display your utter ignorance. SpaceX gets no subsidies and received half as much as Boeing for astronaut transport, but did 100 percent of the work."
“As for Tesla, take a minute to read our public filings and you will see that EV incentives represent a minor part of our revenue. On the other hand, oil & gas companies get massive tax breaks that exceed those given to the EV industry by several orders of magnitude.”
Musk Endorses Donald Trump for 2024 Election
The discussion also touched on political elements, with Musk affirming his endorsement of Donald Trump for the upcoming 2024 U.S. Presidential election. This endorsement aligns with Musk’s recent social media activity, supporting various policies and positions held by Trump, particularly regarding illegal immigration and government spending.
Historical Position on Government Subsidies
Musk’s stand against subsidies isn’t new. He has repeatedly voiced his opinion that subsidies should be eradicated across all industries, not just for his companies.
In a tweet from July, Musk echoed this sentiment:
“Take away the subsidies. It will only help Tesla. Also, remove subsidies from all industries!”
Further back in December 2021, while discussing President Joe Biden’s Build Back Better bill, Musk argued for fiscal prudence given the existing government deficit.
“Honestly, I would just can this whole bill. Don’t pass it. That’s my recommendation.”
Conclusion
Elon Musk remains vocal about his position on government assistance, stressing the necessity for industries to thrive independently of subsidies. By directly addressing queries about Tesla and SpaceX, Musk continues to shape public perceptions and policies related to government subsidies and fiscal responsibility.
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William Kouch, Editor of Automotive.fyi
