President Donald Trump has intensified his feud with Tesla and SpaceX CEO Elon Musk, threatening to strip his companies of government subsidies as Musk escalates his opposition to the president’s tax and spending bill—dubbed by Trump as the “One Big Beautiful Bill.”

The dispute has now grown into one of the most dramatic public fallouts between a sitting U.S. president and a tech executive who was once among his biggest backers.

In a fiery post on Truth Social, Trump declared that Musk “may get more subsidy than any human being in history, by far,” and without U.S. government support, “Elon would probably have to close up shop and head back home to South Africa.” He also suggested that the Department of Government Efficiency (DOGE)—an agency originally proposed by Musk during Trump’s campaign—could now be tasked with scrutinizing federal funding to Musk’s businesses.

“BIG MONEY TO BE SAVED!!!” Trump wrote, targeting subsidies for electric vehicles, rockets, and satellites, much of which flow to Tesla and SpaceX through tax credits, government contracts, and emissions trading schemes.

Fallout Over the “Big, Beautiful Bill”

The relationship between Trump and Musk took a sharp turn earlier this month when the president’s tax package, pitched as a cornerstone of his second-term economic agenda, included provisions to roll back the $7,500 EV consumer tax credit and unwind other climate-related subsidies. The bill was projected to shoot up the U.S.’s debt load by an additional $3.3 billion, stirring the ire of Musk who headed DOGE to cut the government’s excess spending and trim the debt load to the barest minimum.

While the initial feud was subdued, Musk’s response erupted over the weekend into an all-out assault on the bill—and on Republican lawmakers who support it.

In a scathing post on Monday afternoon, Musk wrote on X: “Every member of Congress who campaigned on reducing government spending and then immediately voted for the biggest debt increase in history should hang their head in shame. And they will lose their primary next year if it is the last thing I do on this Earth.”

The post came just hours before the Senate was expected to vote on the final version of the legislation, signaling Musk’s most direct threat yet: to use his influence and resources to target Republican incumbents in primary races if they back Trump’s fiscal agenda.

The billionaire’s comments mark a sharp reversal from his earlier stance. After pledging to cut back on political donations, Musk now appears poised to unleash his considerable personal fortune to reshape the Republican Party’s ranks—potentially funding challengers against lawmakers who side with Trump on the spending bill.

Tesla’s Stock Takes A Hit

Tesla’s stock tumbled as much as 5.7% in early trading Tuesday, continuing a volatile stretch for the EV maker. The company already fell 14% on June 5, the day of Musk and Trump’s first public spat over the tax bill. Analysts at JPMorgan Chase have warned that Trump’s proposed regulatory rollbacks and cuts to green energy incentives could jeopardize as much as 40% of Tesla’s profits, which rely heavily on consumer subsidies and the sale of regulatory credits.

Tesla and Panasonic Holdings Corp., its battery partner, are also top beneficiaries of the Inflation Reduction Act’s manufacturing tax credits, another element potentially under threat from the Trump-aligned bill.

SpaceX, too, stands at risk. The company holds billions in government contracts with NASA, the Pentagon, and federal agencies for rocket launches and satellite services. If DOGE is activated to audit government spending, it could create a direct channel to rein in or reassess funding for Musk’s ventures.

Trump, stung by Musk’s mounting attacks, has reminded the public that he has long opposed federal EV mandates and green energy targets, regardless of his earlier camaraderie with Musk.

“Elon Musk knew, long before he so strongly Endorsed me for President, that I was strongly against the EV Mandate,” Trump wrote. “Electric cars are fine, but not everyone should be forced to own one.”

The tone is a far cry from 2022 and early 2023, when Musk and Trump exchanged praise and Musk supported the GOP’s economic direction. Their rift now highlights deeper ideological divides on industrial policy, government spending, and climate strategy—even among allies.

Amid this backdrop, Tesla is preparing to release its second-quarter delivery numbers later this week. Analysts expect around 390,600 vehicle sales globally, which would reflect a 12% year-over-year drop and follow a 13% fall in Q1—a troubling trend as the EV market cools under subsidy uncertainty.

This downturn, combined with regulatory pressure and a cooling relationship with Washington, places Musk in a uniquely vulnerable position—one he appears ready to counter with political force.

Musk’s attack on the “Big, Beautiful Bill” has now evolved into a broader campaign against what he calls fiscal hypocrisy inside the GOP. While Trump’s base remains firm, the “Big Beautiful Bill” feud is expected to ripple across the Republican primary season and disrupt the clean energy agenda.

Google on Monday announced a sweeping expansion of its artificial intelligence tools for schools, unveiling over 30 new AI-powered features designed to bring its Gemini AI more deeply into classrooms.

The announcement, made at the annual ISTE education technology conference in Denver, marks one of Google’s most aggressive moves yet into the edtech sector.

At the heart of the update is a dedicated education version of the Gemini app, now available for free to all Google Workspace for Education accounts. This version of Gemini is tailored for educators and students, offering tools that help teachers generate lesson plans, create study guides, write rubrics, and personalize learning materials. It also allows educators to build customized Gemini-based assistants called “Gems,” AI agents trained on specific class content that can help students understand topics more deeply or offer extra academic support.

The push comes as AI continues to disrupt traditional learning models. Across primary, secondary, and higher education, teachers are increasingly facing challenges from AI tools like ChatGPT, which students use to answer questions, draft essays, or even complete assignments undetected. Meanwhile, universities are still struggling with how to identify AI-written content and maintain academic integrity. In this context, Google’s latest move aims to empower educators to regain control of the narrative—and to harness AI as a constructive tool rather than a disruptive force.

A Shift from Reaction to Integration

Google’s approach marks a turning point in how technology companies are framing AI in education. Rather than trying to curb student use of external AI tools, the company is offering school-sanctioned alternatives that integrate AI into the classroom workflow.

One such offering is Notebook LM, Google’s AI research assistant, which will now allow teachers to build interactive study guides using their existing classroom materials—notes, slides, PDFs, and more. The AI will then help students navigate this material in an exploratory, conversational format, making self-guided learning more intuitive and personalized.

Teachers will also gain access to a real-time AI reading companion through Read Along in Classroom, a tool that helps young students with pronunciation, fluency, and comprehension. The tool uses speech recognition to listen as students read and offers immediate support, transforming silent reading into an interactive experience.

To complement these tools, Google Vids, the AI-powered video creation platform, is now being made available to all education users. Vids lets teachers create instructional videos and allows students to complete video-based assignments—useful for creative reports, science explainers, or multimedia storytelling.

New Classroom Controls and Analytics

Google is also beefing up the administrative and classroom management side of its education suite.

A new “Class tools” teaching mode allows educators to share articles, videos, slides, and quizzes directly to students’ Chromebook screens via Google Classroom. The tools let teachers lock student focus to specific tabs, restrict browsing, and adapt content into students’ preferred languages—supporting inclusive learning for multilingual classrooms.

Educators will also be able to track student progress against curriculum standards, assess skill development, and access advanced analytics showing engagement levels and performance trends.

This data-driven approach is designed to support more personalized instruction and early intervention for students who may be struggling. At the same time, Google says it is enhancing security and privacy protections, particularly around Gemini and Gmail integration. Administrators will now have better control over how AI tools are deployed and who gets access to them.

AI in the Classroom: Opportunity or Threat?

While Google is emphasizing the benefits of “responsible AI,” its edtech expansion comes amid growing concern that AI tools are outpacing classroom norms and policies.

Students today are far more likely to consult ChatGPT than to ask a teacher to re-explain a topic. The proliferation of AI-generated content has also eroded confidence in traditional homework and assessment formats. Platforms that promise to help students “cheat on everything” are also gaining traction, deepening the challenge for educators.

At the same time, colleges and schools remain divided over whether existing plagiarism detection tools can reliably identify AI-written work, or if the very nature of student learning is being fundamentally altered by this technology.

For its part, Google says it wants to support human-led, AI-assisted instruction—a vision in which teachers use AI to streamline tasks, tailor lessons, and offer real-time support, while still maintaining authority over the learning process.

The company has stopped short of pushing AI into grading or evaluating students, instead positioning its tools as support systems that can automate prep work and administrative tasks while keeping educators at the center of decision-making.

The updates to Gemini AI are also part of a larger infrastructure and ecosystem overhaul for schools. Google introduced a series of updates for managed Chromebooks, which remain the dominant hardware in U.S. K–12 education. These include better controls for remote device management, as well as streamlined support for AI apps, ensuring that tools like Notebook LM and Vids run smoothly in school environments.

Additionally, the new tools are built to align with educational frameworks and privacy laws in various jurisdictions, especially in the U.S. and European Union, where regulations around student data and AI use are rapidly evolving.

Google has not disclosed whether these tools will eventually be monetized, but for now, access remains free for institutions using Workspace for Education—a move likely aimed at encouraging widespread adoption and building long-term loyalty.