What’s Happened in the Last 72 Hours
Government Efficiency (with a Little Help from Elon Musk)
When we think about government operations, the word “efficient” isn’t usually the first thing that comes to mind. But what if someone like Elon Musk—the mastermind behind Tesla, SpaceX, and The Boring Company—was brought in to tackle inefficiency on a national scale? That’s not just a hypothetical anymore. Musk is now leading the charge for streamlining federal operations as head of the newly established Department of Government Efficiency (DOGE). Yes, the government has a department with Musk at the helm, and it’s already making waves.
Over the last 72 hours, Musk and his team at DOGE, alongside other federal initiatives, have rolled out several key moves aimed at trimming fat, improving operations, and saving taxpayers billions. Let’s dive into what happened, what Musk’s influence has been, and how these actions could reshape government efficiency.
1. Consolidating Technology Contracts
One of the most significant announcements came from the General Services Administration (GSA), working closely with Musk’s DOGE, to consolidate overlapping technology contracts across federal agencies. For years, different departments have independently negotiated contracts for similar software, cloud storage, and IT infrastructure. The result? Redundancy, wasted time, and a lot of extra costs. Now, the government is taking a Musk-inspired approach to centralize these agreements and negotiate better deals.
Estimated Savings: $1 billion annually by consolidating just 10% of overlapping contracts.
How Musk Fits In: Musk’s influence is clear here. At Tesla and SpaceX, he’s famous for vertically integrating operations—essentially cutting out the middleman. By applying this mindset to government contracts, DOGE is reducing duplication and ensuring smarter, centralized spending.
2. Streamlining Military Procurement
The Department of Defense (DoD), in coordination with DOGE, has started overhauling its notoriously bloated procurement process. One of the first moves? Cutting out unnecessary middlemen in contracts for military equipment. For example, a contract for aircraft parts was restructured, eliminating layers of subcontractors who were adding markups at every step.
Estimated Savings: $300 million over five years on this one contract alone.
Musk’s Influence: Musk revolutionized the aerospace industry with SpaceX, cutting costs through innovation and streamlined production. The DoD’s new approach mirrors this philosophy: eliminate inefficiencies and focus on direct solutions.
3. Federal Real Estate Overhaul
The federal government owns over 1 million properties, many of which are underutilized or completely unused. Maintaining these properties costs billions annually. In the past 72 hours, DOGE announced plans to sell or repurpose 3,000 of these properties by the end of the fiscal year.
Estimated Impact: $500 million in one-time revenue and $200 million annually in maintenance savings.
Musk’s Take: Musk has often stressed the importance of utilizing every resource to its fullest potential. This move aligns with his philosophy of optimizing assets—making sure every property serves a purpose or is reallocated.
4. Cutting Travel Expenses
Federal travel costs have long been a drain on budgets, with flights, accommodations, and per diems racking up huge bills. Over the past 72 hours, the State Department—with guidance from DOGE—announced new policies to reduce unnecessary travel by prioritizing virtual meetings.
Example: A single overseas conference for 50 employees can cost upwards of $200,000. Canceling just five of these conferences this year is expected to save $1 million.
How Musk Thinks: As someone who runs companies spanning multiple industries, Musk knows the value of effective remote communication. This push for virtual meetings reflects his preference for tech-driven solutions over traditional methods.
5. Modernizing Printing Practices
Yes, the federal government still spends over $100 million annually on printing. Despite the digital age, many agencies continue to rely on paper for reports, memos, and internal communications. Over the past few days, DOGE rolled out a pilot program with the Environmental Protection Agency (EPA) to go paperless, starting with internal documents.
Estimated Savings: Up to $50 million annually if expanded government-wide.
Musk’s Input: Musk has often championed sustainability in his ventures, from Tesla’s electric vehicles to SpaceX’s reusable rockets. A move toward paperless operations aligns perfectly with his vision for reducing waste.
6. Tackling Fraud in Social Programs
Fraud detection in programs like Medicare and Medicaid has been a long-standing challenge, with billions lost annually to false claims and improper payments. DOGE collaborated with the Department of Health and Human Services (HHS) to implement a new AI-driven fraud detection system. This system flags suspicious activity in real time, making it easier to prevent losses before they occur.
Example: In just 48 hours, the system flagged $12 million in potentially fraudulent claims, now under investigation.
Why Musk Matters: Musk’s companies thrive on cutting-edge AI and machine learning, and this fraud detection initiative draws directly from those innovations. By leveraging advanced technology, the government is taking a proactive approach to saving money.
7. Workforce Optimization
In the past 72 hours, several agencies, including the Department of Education and Department of Energy, announced voluntary buyout programs to encourage early retirements among senior employees. The goal is to reduce payroll costs while bringing in fresh talent with updated skill sets.
Estimated Savings: $1 billion annually across participating agencies by reducing the workforce by just 5%.
Musk’s Perspective: Musk has frequently restructured his teams to maximize efficiency and innovation. Applying this principle to federal agencies could help modernize operations while saving taxpayer money.
Why Efficiency Matters
The federal government’s efforts to improve efficiency aren’t just about saving money—though that’s a big part of it. These reforms aim to build trust with taxpayers, showing that their hard-earned dollars are being used wisely. Musk’s leadership at DOGE has brought a fresh perspective, emphasizing innovation, sustainability, and a willingness to challenge outdated systems.
While the changes from the past 72 hours are just a start, they represent a shift toward a more modern, accountable government. Whether it’s cutting redundant contracts, streamlining defense spending, or embracing AI, these initiatives show that even the biggest bureaucracy in the world can learn a thing or two from Elon Musk.
The intersection of government and private-sector efficiency has always been a tricky balance, but Musk’s role at DOGE is proof that bold ideas can lead to real results. Over the past 72 hours, we’ve seen tangible steps toward reducing waste and improving operations across federal agencies. Are these changes enough? Not yet. But they’re a step in the right direction.
What do you think about Musk’s approach to government efficiency? Should we see more private-sector innovators taking on public-sector roles?