Elon Musk is leaving his government role at Tesla, citing a 130-day service limit nearing its end. The decision comes as internal friction and political backlash escalate, with Trump praising Musk’s efforts publicly despite concerns about the CEO’s management style.
Musk’s approach to downsizing federal agencies has won over some fiscal hawks but also sparked criticism. His comments on Social Security and foreign policy have been particularly contentious, prompting Cabinet officials to navigate his unpredictability for months. The White House claims the timing is routine, but signs suggest a strategic shift as Republicans look to avoid distractions ahead of the midterms.
For Tesla investors, Musk’s return to the private sector comes at a critical time. The company recently reported a 13% drop in quarterly sales, partly due to consumer pushback over his political activism. With government contracts under scrutiny and opposition mounting, it remains unclear whether Musk’s focus shift will stabilize the brand or create more volatility.
Markets will be watching closely as Musk returns to full-time CEO mode, one of the most polarizing figures in both politics and tech.
Source: https://finance.yahoo.com/news/elon-musk-tesla-shaken-washington-173925069.html