Special Reports

Elon Musk: Guilty of Forging Diversionary Tactics for a Business Cover Up?


Are Elon Musk's larger than life product press releases just a myth to cover up debt and cash flow issues? Critics ask: Why are his companies dependent heavily on government subsidies if the business is generating loads of money, as per media reports?

Technology players would counter ask: Why would the federal government offer Elon Musk tax benefits if his innovative ideas are not beneficial to the industry or country as a whole? $1.3 billion worth of cash and tax breaks are even offered by Nevada to Tesla if it relocates to Reno.

Elon Musk's present net worth at more or less $13.2 billion makes his rank as the world's no. 87 richest man. $4.9 of that is from government subsidies. It is perceived that anyone buying Elon Musk's electric car also receives a tax credit of $7,500 - which gives the company a competitive edge.

Most people think that Elon Musk is out of his mind when he discloses the plan to explore Mars for tourism and save humanity. But mind you, people who make a difference in this world are the ones who think they could and not the critics. Elon Musk's latest venture is the merger with Solar City, according to USA Today.

Elon Musk's achievements aside from Tesla so far at 45 include: selling Zip2 to Compaq at $305 million. He co-founded PayPal and sold it to eBay for $1.5 billion. He is accused by some media that every time he has cash flow problems, splashy announcements follow.

Robert E. Murray, CEO of Murray Energy Corporation who is into coal is entitled to his own opinion that Tesla is operating "fraudulently" because it has gotten "aid" from taxpayers' money and cannot even sustain a healthy cash flow. Elon Musk responded by saying: -"Tesla gets pennies basically on the dollar vs coal. How about going to zero for Musk and Murray?", according to Salon.

© 2024 University Herald, All rights reserved. Do not reproduce without permission.
Join the Discussion
Real Time Analytics