Trump and Musk’s fallout over politics and contracts is reshaping U.S. business and campaign funding, despite deep ties between the two influential figures.
Fallout Between Trump and Musk Sparks Political Storm
Former allies turned bitter rivals, Donald Trump and Elon Musk are now embroiled in a public feud that has sent shockwaves through U.S. politics and industry. On Friday, Trump declared Musk had “lost his mind,” as tensions between the two influential powerbrokers exploded across social media and political channels.
Deep Political Ties Now Unraveling
The fallout is surprising in speed and scale, especially given Musk’s vocal support for Trump following last year’s assassination attempt. Over the past year, Musk contributed $290 million to Trump and Republican candidates. Now, he’s hinting at backing an entirely new political movement—potentially turning his financial might against Trump.
Government Contracts at Stake
Trump is threatening to cancel federal contracts with Musk’s companies, including SpaceX, which holds nearly $21 billion in U.S. government deals. Musk briefly retaliated by threatening to halt Dragon spacecraft operations, though he later walked back. With NASA missions reliant on SpaceX, any disruption could risk national objectives in space and defense.
White House and Silicon Valley Crosscurrents
The rift also reveals complications inside the federal government. Staff at the Department of Government Efficiency (Doge)—originally shaped by Musk—includes loyalists from both camps. High-profile figures like Katie Miller have already exited, moving directly from public office to Musk’s inner circle, deepening the political entanglement.
Musk’s Influence Inside Trump’s Admin
Top administration advisor David Sacks, a longtime Musk ally, now faces a loyalty dilemma. Tensions are escalating as Silicon Valley influencers and Trump loyalists choose sides. While Trump maintains Republican loyalty—YouGov reports 70% of GOP voters back him—Musk’s online poll suggests he may push for a new centrist political party.
Feud Could Reshape Tech and Politics
Despite public hostility, both men remain financially and politically linked, making a clean break unlikely. Musk’s companies are irreplaceable in U.S. aerospace, and Trump’s political machine has long benefited from Musk’s financial support. Their feud may impact midterm campaigns, regulatory oversight, and the tech-government relationship for years to come.
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