Elton has revealed his concern that Lady Gaga's fame has made her "complacent" and he isn't able to advise her because she has surrounded herself with people who tell her what she wants to hear.
The pop performer is anxious that Gaga has created a persona so famous, it may outshine the credibility of her work, which he believes is a "dangerous" place to be.
Elton told The Australian: "With Gaga - who I love, she's the godmother to our children - I'd like to be able to talk to her right now, but I can't get through to her.
"And there are times when you have to listen. When your persona begins to take over your music and becomes more important, you enter a dangerous place," he added.
Elton believes his friend risks being surrounded with people who don't question her decisions and it will eventually stifle her creativity.