The music mogul compared the star to a "200lb toddler" and bluntly refused to accept that she has "made it" as a full-blown superstar.
Speaking about her current record deal with Interscope, Carter told Billboard: "We have I think three records left with Universal [Interscope].
"There may be a [record label] system there by the time her deal's up that looks more attractive."
Carter also spoke about GaGa's decision to cancel a stadium show in Jakarta, Indonesia recently after threats of violence from groups including the Islamic Defenders Front (FPI).
"It's less about GaGa than it really is what's happening in the world right now as a whole," he explained.
"This is a microcosm. It's a generational divide. Jesus Christ got crucified. It happens."
He added: "Asia is a very loyal audience and an audience that really, really loves music... it's not a passive audience at all... we plan on spending a lot more time here."
Meanwhile, Lady GaGa recently revealed plans to announce her third studio album in September after playing the new record to her label earlier this month.
Watch the music video for Lady GaGa's 'Judas' below: