Written by Jenn Brice, FORTUNE Translated by: zhouzhou, BlockBeats
Editor's note: Trump returned to the White House, Musk became "Ma Baoguo", and people were surprised to find that Musk wrote in his biography published last year: "'I think it is important to have an inclusive and trustworthy digital public space.' He answered, then paused and added, 'Otherwise, how can we help Trump get elected president in 2024?'"
Fortune magazine wrote in this article that Trump's coming to power may bring about policy relaxation, which will benefit Musk's companies. SpaceX and Starlink are expected to reduce regulatory pressure and win more government contracts; Tesla may also receive support in terms of autonomous driving regulation and electric vehicle tax incentives; Boring Company and Neuralink may benefit from infrastructure projects and faster approval processes. Musk will use his relationship with Trump to influence policies in multiple fields and promote business development.
The following is the original content (the original content has been reorganized for easier reading and understanding):
In his national address on election night, Trump not only confirmed that he was one of the biggest winners of the night, but also put Elon Musk in the spotlight. In this scattered victory speech, Trump spent a lot of time thanking Musk. Recently, Musk has invested more than $130 million and a lot of time and tweets to support conservative politics. Trump especially praised Musk's rocket company SpaceX and its Starlink Internet satellites - two business units with great potential for government contracts.
"We have to protect these super talents," the president-elect said. During the campaign, Trump also revealed that at Musk's request, he would set up a "government efficiency" position specifically to support the technology entrepreneur.
Musk is well-known for his opposition to government interference. Whenever faced with fines or penalties, he always points out that this is government overreach. So it’s not surprising that he’s aligned himself with Trump, who has promised to roll back regulations.
In addition to the potential for less government regulation, Musk’s alliance with Trump could help him secure more federal contracts. SpaceX and Tesla have received at least $15.4 billion in government contracts over the past decade, according to The New York Times. Musk’s colleagues and government officials said the billionaire’s support for Trump is also about better protecting his company from regulation and securing government subsidies, according to Reuters.
Here are some of the ways Musk’s various businesses could benefit from Trump’s return to the White House:
SpaceX and Starlink
SpaceX has a strained relationship with the Federal Aviation Administration (FAA), with Musk demanding the resignation of FAA Administrator Michael Whitaker in September after SpaceX was fined $630,000 for rocket launch violations. Musk has said he wants to create a "Department of Government Efficiency" (DOGE) under the Trump administration, one of whose tasks would be to relax regulations on rocket launches.
Meanwhile, SpaceX's satellite internet business, Starlink, may also receive better treatment from the Federal Communications Commission (FCC) under Trump, especially assuming Trump appoints Republican Commissioner Brendan Carr to replace current Chairwoman Jessica Rosenworser. Carr has called the FCC's revocation of an $885 million subsidy for Starlink in 2022 "regulatory harassment." Trump has also proposed using Starlink's satellite service to provide internet connectivity to remote areas, which would be a potential financial gain for Starlink and part of the government's future $42 billion broadband funding plan.
X
After Musk acquired the original Twitter for $44 billion, the Federal Trade Commission (FTC) investigated whether he and X violated the existing FTC data privacy agreement. After the acquisition, Musk cut the privacy and security team responsible for ensuring the company's compliance, which attracted the attention of the FTC. Last week, Musk promised to "fire" FTC Chairman Lina Khan if the Trump administration came to power. Although Trump's vice presidential candidate JD Vance praised Lina Khan for being tough on anti-monopoly, Musk did not seem to care about these differences.
xAI
Musk's generative AI startup xAI has developed a chatbot that competes with large language models such as OpenAI's ChatGPT, so he is particularly concerned about any regulatory policies that may affect the development of AI.
So far, federal discussions about comprehensive regulation of AI companies have not landed. But Musk could still influence policy by suggesting to Trump a deregulatory alternative to the Biden administration's executive order on AI, which sets some limits on the use and development of AI.
In California, Musk has supported the controversial safety bill SB 1047, which seeks to rein in large AI companies, but has been strongly opposed by venture capital firms and large-scale developers who believe that the potential risks of AI cannot be ignored.
Tesla
Federal auto safety regulators launched an investigation into Tesla's fully autonomous driving mode last month after a Tesla driver killed a pedestrian while using that mode.
Musk may use his influence to influence federal regulation of self-driving cars, especially federal auto safety enforcement. He is particularly interested in the sector because Tesla hopes to launch self-driving taxis to challenge more established rivals such as Alphabet’s Waymo and GM’s Cruise.
Musk could also pressure Trump to oppose the Biden administration’s electric vehicle tax credit, which is designed to encourage consumers to buy electric vehicles.
However, Trump’s promise to increase Biden’s tariffs on competing countries such as China could have complicated consequences for Musk. Restricting imports of cheap electric vehicles could reduce Tesla’s competition in the U.S. market, but an escalating trade war could also affect the entire tech industry, especially its chip supply chain that relies on China and Taiwan.
Either way, investors are excited about the prospect: Tesla shares surged 15% after Trump’s victory speech.
The Boring Company
Musk’s vision for high-speed transportation, such as the Boring Company’s “Hyperloop” project, has been hampered by regulatory and technological constraints. The company is currently working on a lower-tech version that uses Tesla cars to transport passengers in an underground tunnel near the Las Vegas Convention Center. The project is also facing an investigation by the Occupational Safety and Health Administration (OSHA) for workplace safety.
Musk blames excessive government regulation for the failure of other cities to successfully carry out tunnel projects, despite the high costs, complex infrastructure and unsafe conditions. With government allies, the Boring Company may have an easier time winning large infrastructure projects.
Neuralink
As the founder of the brain-computer interface company Neuralink, Musk has repeatedly criticized the Food and Drug Administration (FDA) for its lengthy approval process for new drugs and medical devices. He said at a rally in Pennsylvania that "overregulation is killing people."
Although the cancer drug he mentioned has actually been approved, Musk still believes that relaxing regulations can speed up the approval process for Neuralink. Currently, Neuralink has implanted FDA-approved brain-computer interface devices in two patients.
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