Tesla (TSLA) CEO Elon Musk is defending the $4.9 billion that his companies get in government subsidies.
Musk is defending his companies, which include Tesla, SpaceX and SolarCity, following a report from the The Los Angeles Times about these government subsides. Governemnt subsides that Musk’s companies benefit from include tax breaks, grants, discounted loans and more. He claims that these subsides aren’t a necessity for his companies, but that they do help, reports L.A. Times.
The Tesla CEO also argues that his companies don’t get a large check for $4.9 billion from these government subsides. Instead, he notes that these are benefits that the companies get over several years. Musk also claims that the companies in the gas and oil industry benefit much more from government subsides than what his companies do, L.A. Times notes.
“I’m actually surprised that he had such a sensitive reaction to this story because, really at its core, it’s basically a business strategy story that’s merely factual,” Brian Thevenot, the L.A. Times’ deputy business editor, told CNBC while speaking about Tesla CEO Musk.
