Elon Musk's brain implant startup claims it's disadvantaged despite a $9 billion valuation

Elon Musk's Neuralink claims 'disadvantaged' status despite $9B value.

: Elon Musk's company Neuralink, although valued at $9 billion, claims to be a 'small disadvantaged business.' This characterization is made under SBA guidelines meant for companies majorly owned by socially and economically disadvantaged persons, yet Musk's vast wealth contradicts this. Neuralink has faced accusations of falsifying forms to obtain this status. Neuralink has undergone significant funding from mainly affluent investors, raising questions about its true ownership structure.

Elon Musk’s Neuralink, known for its brain implant technology and valued at $9 billion, self-identifies as a 'small disadvantaged business' with the Small Business Administration (SBA). This status is typically reserved for businesses owned by individuals who are socially and economically disadvantaged. The contradiction lies in the fact that Elon Musk, with a net worth substantially exceeding $850,000, does not fit the criteria of economically disadvantaged individuals as per federal regulations.

This issue first came to light through a Substack blog, MuskWatch, which documented Neuralink’s certification and alleged falsification of federal forms. The blog extracted and published parts of a federal form dated April 24, which showed Neuralink marked the box confirming itself as a small disadvantaged business. This raised questions about how a company with significant backing from affluent venture capitalists aligns with SBA's intended purpose for the designation.

Elon Musk, who frequently expresses opposition to diversity, equity, and inclusion (DEI) frameworks, appears to be utilizing these programs when the benefits align with business goals. Neuralink, which was founded in 2016, seeks to innovate brain-to-computer interfacing and received FDA approval for human clinical trials in 2023. Publicly available details about Neuralink's ownership remain sparse, but it is known that Musk held a majority stake as of 2019, underscoring the complexity of its eligibility for the claimed status.

Despite Neuralink receiving ample financial backing from Silicon Valley's venture capital community, which has predominantly white members, its plea for federal support is curious. Previously, Musk's ventures such as Tesla and SpaceX have benefited from substantial U.S. government funding and contracts, hinting at a pattern in leveraging public assistance even as Musk criticizes others who do so. Neuralink's growth narrative, emphasized by its controversial experimental trials on both animals and humans, compounds its complicated claim to disadvantaged status.

Sources: Gizmodo, MuskWatch, Reuters

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