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Elon Musk said in October that the Department of Government Efficiency — a commission in the Trump administration he's been tapped to co-run — would save the government $2 trillion.
But the Tesla chief had a more conservative assessment of that figure on Wednesday during a broadcast on X, where he told political strategist Mark Penn that $2 trillion is a "best-case outcome."
"I think we'll try for $2 trillion. I think that's like the best-case outcome. But I do think that you kind of have to have some overage," Musk told Penn. He added that he thinks the commission has a "good shot" at saving $1 trillion.
"If we can drop the budget deficit from $2 trillion to $1 trillion and free up the economy to have additional growth, such that the output of goods and services keeps pace with the increase in the money supply, then there will be no inflation. So that, I think, would be an epic outcome," Musk continued.
Watch Stagwell's CEO Mark Penn interview Elon Musk at CES! https://t.co/BO3Z7bbHOZ
— Live (@Live) January 9, 2025
In October, Musk said at a campaign rally in New York that he thinks DOGE "can do at least $2 trillion" in savings.
Musk did not specify in October what cuts he planned to make to achieve that target, which would involve slashing government spending by nearly a third. The federal government spent $6.75 trillion in the 2024 fiscal year.
Musk, however, still told Penn on Wednesday that he thinks the government remains "a very target-rich environment for saving money."
"It's like being in a room full of targets. Like you could close your eyes, and you can't miss," he added.
Musk and President-elect Donald Trump's transition team did not immediately respond to requests for comment from Business Insider.
Trump will be sworn into office on January 20.
