On Tuesday, Tesla Inc. TSLA CEO Elon Musk found himself in a heated discussion with CNBC’s David Faber regarding his involvement in federal spending cuts under President Donald Trump’s administration.
What Happened: The conversation, part of CNBC’s “Power Lunch,” initially centered on Tesla and autonomous vehicles but soon shifted to Musk’s role with the Department of Government Efficiency, reported The Hill.
Faber questioned Musk about the tangible impact of DOGE’s cost-cutting efforts, highlighting the criticism Musk has faced.
Musk responded, “We are advisers. We are not—we’re not kings here.”
See Also: Elon Musk Was Once A Microsoft Intern — Now His Company Is Bringing Grok To Azure: ‘Incredibly Important For AI To Be Grounded In Reality,’ xAI CEO Tells Satya Nadella
The tech mogul then interrupted Faber, saying, “So why are you attacking this? Given that we’ve made so much progress?”
Faber then said that he was simply asking questions, not attacking. The exchange began when Faber mentioned Musk’s initial goal of cutting $1 trillion in federal spending, which Musk admitted was not immediately feasible, the report said.
Musk said that DOGE has managed to cut nearly $160 billion in spending, though Faber noted discrepancies in reported figures. Musk explained the methodology behind the numbers, while Faber suggested alternative budget strategies.
Why It Matters: Musk’s involvement with DOGE has been a topic of debate since his appointment. Despite efforts to cut costs, federal spending has reportedly increased by $154 billion since President Trump’s return to office, according to Treasury data.
Earlier this month, Musk shared mixed sentiments about his first 100 days in office, noting some progress within the DOGE while also recognizing its limitations. “We haven’t been as effective as I’d like.”
Last month, during Tesla’s first quarter earnings call, Musk announced plans to reduce his time at DOGE. This decision comes amid investor concerns that his political role has distracted from Tesla’s core operations.
Price Action: Tesla shares edged up 0.51% on Tuesday, ending the session at $343.82. The stock saw a marginal after-hours gain of 0.015%, based on Benzinga Pro data.
According to Benzinga Edge Stock Rankings, Tesla holds a growth score of 45.44%. Click here to compare it with other leading stocks.
Shutterstock/Joshua Sukoff
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
