Elon Musk’s charitable foundation is under fire again, violating IRS rules for the third straight year by failing to distribute enough funds, potentially risking its nonprofit status despite holding billions. In a blistering attack, Bill Gates accused Musk of “killing children” through DOGE-led cuts to USAID, declaring in a May 2025 Reuters interview, “If they fire another aid program, millions will die – this is inexcusable!” This incendiary feud between two tech titans has exposed cracks in billionaire philanthropy, with Gates vowing to donate $200 billion by 2045 while slamming Musk’s “hollow” efforts.
The Musk Foundation, valued at over $7 billion, fell $421 million short of the required 5% distribution in 2023, per New York Times tax filings. IRS mandates demand penalties or make-goods, but repeated violations – including 2022 and 2021 shortfalls – have drawn scrutiny. “It’s not charity; it’s a tax shelter,” critics like The New Republic argue. Musk donated $5.74 billion in Tesla stock in 2021, slashing his taxes by billions, but the foundation often gives minimally, focusing on pet projects like Memphis schools amid xAI’s expansion.
Gates, whose foundation has disbursed $100 billion, escalated the war in 2025, warning DOGE’s USAID shutdown endangers lives. “Elon is killing the world’s poorest children,” he told Axios, tying it to Musk’s cost-cutting role. Musk fired back on X, ripping Gates’ Epstein ties: “I wouldn’t trust that guy to babysit my kids!” The clash dates to 2022, when Gates shorted Tesla stock, prompting Musk to call him “super mean.” Social media buzzes with #BillionaireFeud, users debating who’s the real hypocrite.
Insiders reveal Gates’ fury stems from personal vendettas, while Musk’s foundation woes intersect with family drama. As Gates commits another $100 billion, questions linger: Will IRS crack down, or is this elite impunity? The fallout could reshape philanthropy – one wrong move, and the titans’ empires clash catastrophically.
