Catastrophic access, conflicted interests

Elon Musk's role as the head of the Department of Government Efficiency, also known as DOGE, is on the surface a dramatic effort to overhaul the inefficiencies of federal bureaucracy.

- ALLISON STANGER

But beneath the rhetoric of cost-cutting and regulatory streamlining lies a troubling scenario.

Musk has been appointed what is called a "special government employee" in charge of the White House office formerly known as the U.S. Digital Service, which was renamed the U.S. DOGE Service on the first day of President Donald Trump's second term. The Musk team's purported goals are to maximize efficiency and to eliminate waste and redundancy.

That might sound like a bold move toward Silicon Valley-style innovation in governance. However, the deeper motivations driving Musk's involvement are unlikely to be purely altruistic. Musk has an enormous corporate empire, ambitions in artificial intelligence, desire for financial power and a long-standing disdain for government oversight. His access to sensitive government systems and ability to restructure agencies, with the opaque decision-making guiding DOGE to date, have positioned Musk to extract unprecedented financial and strategic benefits for both himself and his companies, which include the electric car company Tesla and space transport company SpaceX.

One historical parallel in particular is striking. In 1600, the British East India Company, a merchant shipping firm, began with exclusive rights to conduct trade in the Indian Ocean region before slowly acquiring quasi-governmental powers and ultimately ruling with an iron fist over British colonies in Asia, including most of what is now India. In 1677, the company gained the right to mint currency on behalf of the British crown. As I explain in my upcoming book "Who Elected Big Tech?" the U.S. is witnessing a similar pattern of a private company taking over government operations.