Elon Musk Plans to Support DOGE Throughout Trump’s Term: What’s Next for Cryptocurrency?
Tesla CEO Elon Musk has announced that he may continue his involvement with the Department of Government Efficiency (DOGE) throughout President Donald Trump’s second term, despite increasing calls for him to distance himself from politics. This decision comes in light of the impact political sentiment has had on Tesla’s sales, prompting Musk to reconsider the extent of his engagement.
Elon Musk’s Reduced Role in Government Efficiency
Musk revealed his plans during Tesla’s quarterly earnings call, indicating that he intends to limit his involvement with DOGE to just a “day or two” each week starting next month. He stated, “as long as the President would like me to do so, and as long as it is useful.”
Impact of Political Sentiment on Tesla
During the earnings call, Tesla acknowledged that “political sentiment” has adversely affected the company’s sales figures. This acknowledgment comes alongside other challenges, such as:
- Increased competition in the electric vehicle market
- Tariffs imposed during Trump’s administration
These factors have contributed to a staggering 71% drop in profit compared to the same quarter last year.
Concerns from Wall Street Analysts
Musk’s recent comments follow warnings from prominent Wall Street analysts who believe that Tesla is facing a “code red” situation. They suggest that the CEO must step back from his government responsibilities to stabilize the company.
Global Protests Against Musk’s Government Work
The work Musk has done with DOGE, which he described as “gutting government agencies,” has sparked widespread protests against him and Tesla. During the earnings call, Musk suggested that these protests were orchestrated and “paid for,” but did not provide any evidence to support these claims.
He further asserted that the demonstrators are “protesting because they’re receiving fraudulent money or are the recipients of waste,” again failing to substantiate his statements.
The Future of Musk’s Involvement with DOGE
Musk indicated that the “major work of establishing” DOGE is complete, which should allow him to reduce his level of involvement. As a special government employee, he is limited to working 130 days within any 365-day period. The White House has yet to respond to inquiries regarding Musk’s ongoing role.
For more information on Tesla’s financial performance, visit our Tesla Financials page. To learn about the impact of political sentiment on businesses, check out this Forbes article.
