Elon Musk's business empire is sprawling. It includes an electric car maker TeslaSocial media company X, artificial intelligence startup xAI, computer interface company Neuralink, tunneling venture Boring Company, and space company SpaceX.
Some of his projects already benefit significantly from federal contracts. SpaceX has received more than $19 billion in contracts with the federal government, according to research by FedScout. Under a second Trump presidency, more lucrative contracts could come her way. SpaceX is on track to secure billions of dollars a year in major contracts with the federal government for years to come, according to FedScout CEO Jeff Orazim.
Musk, who has often blamed the government for stifling innovation, could push for less regulation of his business. Earlier this month, Trump appointed Musk and former Republican presidential candidate Vivek Ramaswamy to lead a government efficiency group called the Department of Government Efficiency, or DOGE.
In a recent commentary piece in the Wall Street Journal, Musk and Ramaswamy wrote that DOGE “will pursue three main types of reform: regulatory elimination, administrative cuts, and cost savings.” They went on to say that many existing federal regulations were never passed by Congress and therefore should be repealed, which President-elect Trump could accomplish through executive action. Musk and Ramaswamy also defended the broad audit of the agencies, criticizing the Pentagon for failing its seventh audit in a row.
“The number one way Elon Musk and his companies will benefit from the Trump administration is by deregulating and cutting resources, you know, giving fewer resources to the federal agencies charged with overseeing him and his business,” says CNBC technology correspondent Laura Kolodny.
To see how Elon Musk and his companies could benefit from having the president-elect's ear, watch the video.
