Elon Musk and President Trump are clashing over subsidies and AI rules in Trump’s “big, beautiful bill.”
Trump took a swipe at Musk early Tuesday, calling out Tesla’s reliance on government subsidies and mocking Musk’s now-defunct Department of Government Efficiency (DOGE).
Trump’s Truth Social post fired this shot: 
"Without subsidies, Elon would probably have to close up shop and head back home to South Africa,"
"perhaps we should have DOGE take a good, hard, look at this?"
That came after Musk slammed the bill’s new taxes on green energy and its boost to fossil fuels — changes that have angered Silicon Valley.
The backlash deepened when a key AI provision was killed in the Senate. The clause would have blocked state and local governments from regulating AI for years.
Sen. Marsha Blackburn (R-TN) ditched the compromise on Monday, leading to a 99-1 vote removing the AI shield from the bill.
This AI move undercuts Silicon Valley’s push for less regulation, signaling growing GOP resistance.
Trump’s package is now shaky. Senators Lisa Murkowski and Susan Collins remain undecided, and their potential “no” votes could break the Republican majority.
The feud escalated Monday when Musk threatened Republicans who support the bill, saying:
"Lawmakers who vote for the bill will lose their primary next year if it is the last thing I do on this Earth."
Musk spent $288 million supporting Trump in 2024. But Tuesday, Trump doubled down:
"Elon can lose a lot more than that."
"DOGE is a monster that might have to go back and eat Elon."
When asked about deporting Musk, Trump said: "We’ll have to take a look."
Meanwhile, Musk said Tesla and SpaceX don’t need subsidies and called for slashing oil and gas handouts too.
The AI ban’s downfall started after the House voted in May for a decade-long ban on state AI rules. Many Trump allies, like Rep. Marjorie Taylor Greene, later opposed it, calling it a violation of state rights.
Blackburn tried a “temporary pause” deal to limit state regulations for five years but ditched it, warning it let Big Tech exploit users. She teamed with a Democrat to kill the AI provision outright.
Arkansas Gov. Sarah Huckabee Sanders praised Blackburn’s move:
"This is how you take on big tech!"
The bill’s fate is uncertain as the Senate weighs more amendments. The House will decide next if it passes.
The Trump-Musk war is set to remain front and center in this high-stakes political showdown.
