Trump-Musk Feud Impacts Tesla
The feud's consequences are already being felt, with Tesla's stock price taking a hit and Musk's companies facing potential losses, as Democrats watch with interest, seeing an opportunity to gain ground against Republicans, and the implications for Musk's business interests, including robotaxis, hang in the balance.
A public feud between Donald Trump and Elon Musk has escalated, with both exchanging insults and threats, affecting Tesla's stock price and potentially impacting Musk's business interests, including plans to launch robotaxis in Austin, Texas.
The feud began when Musk criticized Trump's signature spending bill, calling it an "abomination" due to its potential to increase the budget deficit and undermine efforts to cut government agency spending. Trump responded, expressing disappointment in Musk and accusing him of ingratitude, which led to Musk launching a series of attacks on Trump on social media, including unsubstantiated claims about Trump's connection to late billionaire Jeffrey Epstein.
The spat has already had significant consequences, with Tesla's stock price dropping 14% and Musk's companies facing potential losses. The implications of the feud may also affect Musk's plans to launch robotaxis in Austin, Texas, and could have broader implications for his business interests. Democrats are watching the situation closely, seeing it as an opportunity to gain ground against Republicans.
The "One Big Beautiful Bill Act" proposed by Trump would increase the deficit by $3.8 trillion by 2034, according to the Congressional Budget Office, which is at odds with Musk's efforts to reduce government spending through the Department of Government Efficiency (DOGE) team he previously led. Musk's comments on the bill have put him at odds with Trump, who has championed the bill as part of his domestic policy.
As the feud between Trump and Musk continues to unfold, it remains to be seen how it will impact Tesla, Musk's other business ventures, and the broader political landscape. One thing is certain, however: the public spat between two of the most influential figures in the US has significant implications for the business and political world.