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Elon Musk Holds Town Hall With Pennsylvania Voters in Lancaster
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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

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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Rani Molla

Pension leaders overseeing more than $1 trillion in assets call SpaceX’s corporate structure “extreme”

SpaceX is gearing up for what is expected to be the biggest IPO in history — a $75 billion raise at a record $1.75 trillion valuation. But some of Wall Street’s biggest whales aren’t happy with the plan.

Leaders from three of the largest US public pension systems — New York State, New York City, and California — sent a letter to CEO Elon Musk on Wednesday, calling out the company’s planned corporate structure as extreme and the “most management-favorable governance structure ever brought to the US public markets at ⁠this scale.”

Among their concerns: Musk’s inviolability since only he can remove himself as CEO, the elimination of class-action lawsuits, and a Texas shield that could require a staggering 3% of outstanding stock just to file a derivative suit.

While the group has requested a meeting with Musk, it’s not clear if the $1 trillion they oversee is enough to force Musk to entertain their demands. These funds may be caught in an index trap.” As passive benchmark trackers, they’ll be forced to buy the stock once it lists, stripping them of any boycott leverage. And with a tiny ~5% float and the expected massive demand from retail and other investors, Musk may be able to ignore a few whales.

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Rani Molla

Nvidia, Tesla, Apple, Micron CEOs head to China with Trump

Executives from some of America’s biggest companies, including Apple, Tesla, and Boeing, are joining President Trump on his trip to China this week to help facilitate trade and investment between the countries. After a last-minute invite, Nvidia CEO Jensen Huang, who was initially snubbed, is also part of a trip aimed, in part, at resolving a prolonged import-export standoff between China and the US regarding AI and semiconductor technology.

Meta President and Vice Chairman Dina Powell McCormick is also going. Recently China blew up one of Meta’s major AI bets by unwinding the company’s acquisition of AI agent startup Manus.

In a post on Truth Social, Trump said the group was journeying to China to ask President Xi to “‘open up’ China so that these brilliant people can work their magic, and help bring the People’s Republic to an even higher level!”

He added, “I have never seen or heard of any idea that would be more beneficial to our incredible Countries!”

Here’s the full list of company executives, per Reuters:

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Jake Lahut

Iran discussing US proposal to reopen Strait of Hormuz, cease hostilities for 30 days: NYT

Iranian officials told The New York Times Thursday that they are discussing a one-page proposal with the United States to temporarily reopen the Strait of Hormuz for 30 days and cease hostilities for the same period of time.

The reopening would come in exchange for the US lifting its naval blockade and halting all hostilities for that period, per the Times. The strait would be open to commercial traffic if both sides agree to the deal, according to three Iranian officials who spoke with the NYT.

The US has not yet commented on this specific proposal.

Shortly after news broke of Iranian consideration of the proposal, the US struck oil ports on the island of Qeshm and the coastal city of Bandar Abbas, a US military official told Jennifer Griffin of Fox News. The strikes do not constitute a restarting of the war, the official said.

The reopening would come in exchange for the US lifting its naval blockade and halting all hostilities for that period, per the Times. The strait would be open to commercial traffic if both sides agree to the deal, according to three Iranian officials who spoke with the NYT.

The US has not yet commented on this specific proposal.

Shortly after news broke of Iranian consideration of the proposal, the US struck oil ports on the island of Qeshm and the coastal city of Bandar Abbas, a US military official told Jennifer Griffin of Fox News. The strikes do not constitute a restarting of the war, the official said.

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Jake Lahut

Ceasefire holds on Tuesday morning following an “exchange of fire” and shipping clashes

The nearly one-month ceasefire in the Middle East was under threat of being shattered, The New York Times reports, after a series of strikes between the US and Iran escalated on Monday. That fragile ceasefire seems to be holding, however, early on Tuesday.

US warships intercepted Iranian cruise missiles aimed at Navy vessels, according to Admiral Brad Cooper, the leader of US Central Command. The US attacked Iranian speedboats in response, per the NYT, and sank six of them, Cooper reported.

On top of the UAE facing a barrage of Iranian missiles and drones the same day, hostilities appeared to be opening up on multiple fronts in the region. Al Jazeera reported one of the strikes hit a key oil facility in the emirate of Fujairah, setting it ablaze.

The BBC reported early Tuesday that Mohammad Ghalibaf, the speaker of Iran’s parliament and a top negotiator in last month’s talks, had written on X: “We know well that the continuation of the status quo is intolerable for America, while we are just getting started.”

Oil prices, by far the strongest and most immediate signal of investor sentiment about the prospect of future clashes, ticked lower on Tuesday morning as reports of attacks diminished and shipping giant Maersk said that one of its ships passed through the Strait of Hormuz under US protection.

US warships intercepted Iranian cruise missiles aimed at Navy vessels, according to Admiral Brad Cooper, the leader of US Central Command. The US attacked Iranian speedboats in response, per the NYT, and sank six of them, Cooper reported.

On top of the UAE facing a barrage of Iranian missiles and drones the same day, hostilities appeared to be opening up on multiple fronts in the region. Al Jazeera reported one of the strikes hit a key oil facility in the emirate of Fujairah, setting it ablaze.

The BBC reported early Tuesday that Mohammad Ghalibaf, the speaker of Iran’s parliament and a top negotiator in last month’s talks, had written on X: “We know well that the continuation of the status quo is intolerable for America, while we are just getting started.”

Oil prices, by far the strongest and most immediate signal of investor sentiment about the prospect of future clashes, ticked lower on Tuesday morning as reports of attacks diminished and shipping giant Maersk said that one of its ships passed through the Strait of Hormuz under US protection.

power
Jake Lahut

US on par for $4.50 per gallon in the next week or 2: GasBuddy

Gas prices shooting up across several Midwestern states is putting the national average on track to hit $4.50 per gallon within the next two weeks, according to GasBuddy’s Patrick De Haan.

In Michigan, the price went from $3.78 a week ago and $4.18 Tuesday to over $4.25 on Wednesday.

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(Event contracts are offered through Robinhood Derivatives, LLC — probabilities referenced or sourced from KalshiEx LLC or ForecastEx LLC.)

Wisconsin, where gas remained below the national average of $4.22 as of Wednesday afternoon, saw a more modest but similar jump up to $3.96 per gallon, according to the American Automobile Association.

De Haan also mentioned Ohio, Indiana, and Illinois in his post on BlueSky as contributing to the surge. Of those states, gas is most expensive in the Land of Lincoln, at $4.52 per gallon.

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(Event contracts are offered through Robinhood Derivatives, LLC — probabilities referenced or sourced from KalshiEx LLC or ForecastEx LLC.)

Wisconsin, where gas remained below the national average of $4.22 as of Wednesday afternoon, saw a more modest but similar jump up to $3.96 per gallon, according to the American Automobile Association.

De Haan also mentioned Ohio, Indiana, and Illinois in his post on BlueSky as contributing to the surge. Of those states, gas is most expensive in the Land of Lincoln, at $4.52 per gallon.

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