I did not have money: Elon Musk reveals he could not go to college in US, grad schools are now useless

In a candid conversation about education and his early life, Elon Musk has opened up about the financial struggles that made his academic journey, while also questioning the relevance of higher education in today's fast-moving tech landscape. Speaking during an interview with Peter H. Diamandis, Musk shared that he did not have the money to initially pursue studies in the United States and instead began his college journey in Canada with limited resources. At a time when thousands of people are losing jobs due to AI, he recommended that youngsters should now avoid wasting their time on graduation for a major reason.

Started with $2,500 and a bag of books: Elon Musk talks about money struggles

Recalling his early days, Musk said he arrived in Montreal at the age of 17 with just around $2,500 in Canadian travellers’ cheques, along with just a bag of books and clothes. “That was my starting point,” he said, suggesting that he did not come from wealth or have a strong financial backing. Due to these constraints, he enrolled at Canada's "Queen's University," where he studied for a couple of years before eventually moving to the University of Pennsylvania.

"I didn't have any money, so I could only go to Canadian university at first," Musk said, explaining why he began his studies in Canada instead of the US. "One bag of books and one bag of clothes. That was my starting point. That was my spawning point in (Canada)." This is because he had Canadian citizenship. His mother was born in Canada.

At Pennsylvania, Musk pursued a dual degree in physics and economics, completing his undergraduate studies before briefly considering a PhD at Stanford University. However, he did not go ahead with the programme and instead shifted his focus towards building companies, a decision that would later define his career. Speaking of which, Musk now regards graduate schools as worthless.

Don’t waste your time in grad schools: Musk to youngsters

During the discussion, Musk did not hold back in his criticism of modern education systems, particularly graduate studies. He argued that many PhD programmes do not necessarily lead to practical or useful outcomes, even though they may contribute to academic knowledge. "Most PhDs do not turn into something useful," he said, adding that while research can add to the "tree of knowledge," it does not always translate into real-world impact.

He also pointed to rising costs as a major concern, noting that tuition fees have surged sharply over the years. "Tuition has increased 900 per cent since 1983," the host said, and Musk agreed with him, saying that administrative expenses at universities have also grown significantly.

In addition to this, Musk said the urgency to build and innovate has never been higher, especially in technology. According to him, aspiring entrepreneurs should prioritise starting companies over spending years in graduate school. "Don’t waste your time going into grad school. Start a company," he said, suggesting that the current education system has not kept pace with rapid advancements in technology.

He further questioned the value of college education itself in many cases, stating that it is unclear why someone would attend college today unless they are seeking the social experience it offers. Musk's remarks come at a time when rising tuition costs and concerns around employability are already sparking debate around the effectiveness of higher education, particularly in the United States.

Beyond education, Musk also spoke about his personal motivations, attributing his journey to curiosity about the universe and a desire to understand the nature of reality. He described his school years as difficult and unengaging, calling them "painful" and "boring," which further pushed him to seek a different path.