Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government

Elon Musk, the richest man in the world, will be a major political player no matter who wins the presidential election.

Elon Musk’s influence over the federal government is extraordinary, and extraordinarily lucrative.

Mr. Musk’s rocket company, SpaceX, effectively dictates NASA’s rocket launch schedule. The Defense Department relies on him to get most of its satellites to orbit. His companies were promised $3 billion across nearly 100 different contracts last year with 17 federal agencies.

Federal Contracts

Two of Elon Musk’s companies account for at least $15.4 billion in government contracts over the past decade.

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

CABINET

DEPARTMENTS

Energy

$7,000

State

$440,000

Commerce

$1.9 million

Veterans Affairs

$463,000

At least

$352,000

in contracts

Interior

$138,000

Homeland Sec.

$359,000

Federal

contracts

Agriculture

$120,000

Transportation

$21,000

Defense

$3.6 billion

INDEPENDENT

AGENCIES

General Serv.

Administration

$352,000

Environmental

Protection

Agency

At least

$15.4 billion

in contracts

$30,000

NASA

$11.8 billion

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

CABINET DEPARTMENTS

Energy

$7,000

State

$440,000

At least

$352,000

in contracts

Commerce

$1.9 million

Veterans Affairs

$463,000

Interior

Federal

contracts

$138,000

Homeland Security

$359,000

Agriculture

$120,000

Transportation

$21,000

Defense

$3.6 billion

INDEPENDENT AGENCIES

General Services

Administration

At least

$15.4 billion

in contracts

$352,000

Environmental

Protection Agency

$30,000

NASA

$11.8 billion

By Jonathan Corum

His entanglements with federal regulators are also numerous and adversarial. His companies have been targeted in at least 20 recent investigations or reviews, including over the safety of his Tesla cars and the environmental damage caused by his rockets.

Investigation and Oversight

Mr. Musk’s companies are increasingly facing regulatory battles and overlapping federal investigations from all corners of the government.

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

CABINET

DEPARTMENTS

Transportation

Investigations

Investigations

Justice

OSHA violations

Oversight

Labor

Lawsuit

Enforcement

Interior

Investigation

Agriculture

Violations, fines

Lawsuit

INDEPENDENT

AGENCIES

OSHA violations

Starbase review

National Labor

Relations Board

Violation

Oversight

Equal Employment

Opportunity Comm.

Environmental

Protection Agency

Violations, fines

Investigation

Securities and

Exchange Comm.

Federal

Communications

Comm.

Investigations,

court order

Federal Trade

Comm.

Oversight,

consent decree

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

CABINET DEPARTMENTS

Transportation

Investigations

Investigations

Justice

OSHA violations

Oversight

Labor

Lawsuit

Enforcement

Interior

Investigation

Agriculture

Violations, fines

Discrimination suit

INDEPENDENT AGENCIES

OSHA violations

National Labor

Relations Board

Starbase review

Violation

Oversight,

rejected subsidies

Equal Employment

Opportunity Comm.

Environmental

Protection Agency

Violations, fines

Securities and

Exchange Comm.

Investigation

Federal

Communications

Comm.

Investigations,

court order

Federal Trade

Comm.

Oversight,

consent decree

By Jonathan Corum

Given Mr. Musk’s immense business footprint, he will be a major player no matter who wins the election.

But he has thrown his fortune and power behind former President Donald J. Trump and, in return, Mr. Trump has vowed to make Mr. Musk head of a new “government efficiency commission” with the power to recommend wide-ranging cuts at federal agencies and changes to federal rules.

Rockets, Cars and Satellites

Some examples of the services that Mr. Musk’s companies provide to the U.S. government.

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

Energy

State

Commerce

Veterans Affairs

Interior

Homeland Sec.

Agriculture

Transportation

Defense

G.S.A.

E.P.A.

$2.2 billion

NASA

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

Energy

State

Commerce

Veterans Affairs

Interior

Homeland Security

Agriculture

Transportation

Defense

G.S.A.

$2.2 billion

E.P.A.

NASA

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

Energy

State

Commerce

Veterans Affairs

Interior

Homeland Sec.

Agriculture

Transportation

Defense

$25,000

G.S.A.

E.P.A.

NASA

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

Energy

State

Commerce

Veterans Affairs

Interior

Homeland Security

Agriculture

$25,000

Transportation

Defense

G.S.A.

E.P.A.

NASA

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

Energy

State

Commerce

$57,800

Veterans Affairs

Interior

Homeland Sec.

Agriculture

Transportation

Defense

G.S.A.

E.P.A.

NASA

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

Energy

State

$57,800

Commerce

Veterans Affairs

Interior

Homeland Security

Agriculture

Transportation

Defense

G.S.A.

E.P.A.

NASA

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

Energy

State

Commerce

Veterans Affairs

Interior

Homeland Sec.

Agriculture

Transportation

Defense

$120,000

G.S.A.

E.P.A.

NASA

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

Energy

State

Commerce

Veterans Affairs

Interior

Homeland Security

Agriculture

$120,000

Transportation

Defense

G.S.A.

E.P.A.

NASA

The same diagram from above depicts the connections between Mr. Musk’s companies and the many cabinet departments and federal agencies with whom the companies have contracts.

SpaceX was hired to design, build and test a space landing system for astronauts.

SpaceX sold Starlink satellite internet to the U.S. embassy in Ashgabat, Turkmenistan, providing access to U.S. officials in a country that severely censors online activity.

Tesla provided a tactical vehicle to the U.S. embassy in Iceland.

And the U.S. Forestry Service used Starlinks to connect emergency responders battling wildfires in remote parts of California.

By Jonathan Corum

Fines and FIghting

Several examples of clashes between U.S. agencies and Mr. Musk’s companies.

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

CABINET

DEPARTMENTS

Transportation

Justice

Labor

Interior

Agriculture

INDEPENDENT

AGENCIES

N.L.R.B.

E.E.O.C.

E.P.A.

S.E.C.

F.C.C.

F.T.C.

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

CABINET DEPARTMENTS

Transportation

Justice

Labor

Interior

Agriculture

INDEPENDENT AGENCIES

N.L.R.B.

E.E.O.C.

E.P.A.

S.E.C.

F.C.C

F.T.C.

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

CABINET

DEPARTMENTS

Transportation

Justice

Labor

Interior

Agriculture

INDEPENDENT

AGENCIES

N.L.R.B.

E.E.O.C.

E.P.A.

S.E.C.

F.C.C.

F.T.C.

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

CABINET DEPARTMENTS

Transportation

Justice

Labor

Interior

Agriculture

INDEPENDENT AGENCIES

N.L.R.B.

E.E.O.C.

E.P.A.

S.E.C.

F.C.C

F.T.C.

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

CABINET

DEPARTMENTS

Transportation

Justice

Labor

Interior

Agriculture

INDEPENDENT

AGENCIES

N.L.R.B.

E.E.O.C.

E.P.A.

S.E.C.

F.C.C.

F.T.C.

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

CABINET DEPARTMENTS

Transportation

Justice

Labor

Interior

Agriculture

INDEPENDENT AGENCIES

N.L.R.B.

E.E.O.C.

E.P.A.

S.E.C.

F.C.C

F.T.C.

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

CABINET

DEPARTMENTS

Transportation

Justice

Labor

Interior

Agriculture

INDEPENDENT

AGENCIES

N.L.R.B.

E.E.O.C.

E.P.A.

S.E.C.

F.C.C.

F.T.C.

Elon Musk’s Big Business and Conflicts of Interest With the U.S. Government | INFBusiness.com

CABINET DEPARTMENTS

Transportation

Justice

Labor

Interior

Agriculture

INDEPENDENT AGENCIES

N.L.R.B.

E.E.O.C.

E.P.A.

S.E.C.

F.C.C

F.T.C.

Similar to an earlier diagram, this one again shows connecting lines Mr. Musk’s companies and the cabinet departments and federal agencies that have opened investigations and other reviews of the companies.

The National Highway Traffic Safety Administration has opened five investigations of Tesla, including for complaints of unexpected braking, loss of steering control and crashes while cars were in “self-driving” mode.

Tesla has tried to block at least two rulings from the National Labor Relations Board, including one punishing Mr. Musk for tweeting that factory workers would lose stock options if they joined a union.

Neuralink, Mr. Musk’s brain-implant company, was fined for violating Transportation Department rules regarding the movement of hazardous materials.

The Justice Department sued SpaceX, arguing that the company refused to hire refugees and asylum seekers because of their citizenship status.

By Jonathan Corum

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Source: nytimes.com

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