It is not the first time that Elon has made a statement about us living in a simulation.
Almost same time, four years back in 2018, Elon stated that we might be living in a simulation during an interview in a popular podcast.
He said with current rate of improvement,
games will soon be indistinguishable from reality. So, there is a good chance we are already living in a simulation.
The Matrix 'Trilogy' raised the same question and the plot revolved around humans being harvested for biological energy while being kept in simulation
The simulation also termed as Maya in ancient Sanskrit language states that all humans live in Simulation (Maya)
Elon also stated in the past that there is a high probability that there are many many simulations
said in his show that like video games simulation most likely will be creating perception of reality on demand rather than rendering it all at the same time.