Billionaire entrepreneur Elon Musk has said that he believes the military conflicts in the Middle East and Ukraine could escalate into World War III, and suggested that America's military power is no longer what it used to be compared to other world powers, the Wall Street Journal reports.

"We need to find peace in Ukraine, and I think we need to restore normal relations with Russia," Musk said, adding that the current situation could force Russia into a closer alliance with China.

Speaking at an online panel discussion on his X platform, Musk also called for a ceasefire in Ukraine, calling the war with Russia a hopeless situation.

Elon Musk also believes that an alliance of Russia, China, and Iran could prevail over the West in a global conflict.

"We do not have an overwhelming advantage in industrial power. The basis of war is economic power, especially industrial production, i.e. how many tanks, guns and drones you can produce compared to the other side," he said.