Elon Musk has packed his things and said goodbye to the White House. And now what? Investors, for now, breathe a little easier. It sounds contradictory, but stepping away from politics could be just what Musk needs to focus again on his own: Tesla, SpaceX, Starlink, and his list of futuristic projects (which seems longer than the line to buy Taylor Swift tickets).
Tesla is not doing well. Sales have dropped, the robotaxis have yet to take off, and protests against Musk’s political sympathies have not helped. Oh, and the latest SpaceX launch ended up exploding even faster than a poorly calibrated rocket. Literally.
Tesla: Time to take off or time for maintenance?
Tesla’s shares have fallen 25% since December, and many investors blame Musk’s excessive focus on his political adventure.
The initial enthusiasm for their ties with Trump deflated when deliveries decreased and competition - especially in China and Europe - started to catch up with them.
According to Seth Goldstein from Morningstar, although Musk’s departure from the government could improve the “environment,” he does not see real changes in Tesla... yet. And although optimists continue to bet on robotaxis as the next big boom, the challenges remain very real.
Relationship with Trump? With benefits... and controversies
Musk and Trump not only shared tweets: they also shared business. While Musk led the Department of Government Efficiency (DOGE), his companies were gaining ground.
But all that access to federal corridors came with suspicions of insider trading, especially when it was discovered that Grok, xAI’s chatbot, was involved in some government agencies.
And just as Musk announced his departure, SpaceX suffered another setback with its Starship rocket, which exploded before completing its mission. Gwynne Shotwell remains in charge, but Musk now promises to focus more on the project. Will it be true?
Energy policy, another battle
Although Musk had kept a low profile regarding energy policy, Tesla Energy spoke up this week. It strongly criticized the Republican plans to cut incentives for clean energy. They believe that this not only harms the business but also threatens the energy security of the U.S.
And in the midst of all this, Musk is preparing what could be his next big move: the robotaxi. He said they are already testing driverless cars in Austin and in June they will deliver the first one directly from the factory to the customer. It seems like the post-Washington stage will be anything but peaceful.