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Origin story

How did Musk get so rich, anyway?

The Feds lavished money on him.

Over the years, Musk and his businesses have received at least $38 billion in government contracts, loans, subsidies and tax credits, often at critical moments, a Washington Post analysis has found, helping seed the growth that has made him the world’s richest person.

The payments stretch back more than 20 years. Shortly after becoming CEO of a cash-strapped Tesla in 2008, Musk fought hard to secure a low-interest loan from the Energy Department, according to two people directly involved with the process,holding daily briefings with company executives about the paperwork and spending hours with a government loan officer.

DOGE, which stands for Department of Government Efficiency, has sought to cut staff, slash budgets or cut contracts at all seven of the agencies where Musk’s companies have ongoing contracts. That includes the General Services Administration, Defense Department and Transportation Department.

Ungrateful fella, isn’t he.

“Not every entrepreneur at this scale has been this dependent on federal money — certainly not Nvidia, not Microsoft, nor Amazon, nor Meta,” said Jeffrey Sonnenfeld, professor at the Yale School of Management, who noted that much of the funding has come during Democratic administrations. “With DOGE, there does seem to be a paradox there. He has been a big beneficiary of national industrial policy, especially Democrat industrial policy, through government funding.”

Paradox is one word for it. I can think of others.

John Helveston, a professor at George Washington University who studies electric vehicles, said Tesla is a prime example of the success that can come from government investment in nascent industries, though government assistance alone is not a guarantee for success.

By pushing to cut subsidies across all industries, Helveston said Musk is strangling a potential lifeline for smaller companies — and his competitors.

“Pretty much every aspect [of Tesla] has benefited from direct government subsidy or financing,” he said. “It’s not a weird phenomenon for Tesla to benefit from this, but it is certainly hypocritical.”

Yeh that’s one of the words.

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