Billionaire Tesla CEO Elon Musk is leaving the Trump administration after leading a tumultuous efficiency drive, during which he upended several federal agencies but ultimately failed to deliver the generational savings he had sought.
Elon Musk took a swipe at President Trump’s signature domestic policy legislation, saying it would add to the national deficit. He complained to administration officials about a lucrative deal that went to a rival company to build an artificial-intelligence data center in the Middle East. And he has yet to make good on a $100 million pledge to Trump’s political operation.
Mr. Musk, who once called himself the president’s “first buddy,” is now operating with some distance from Mr. Trump as he says he is ending his government work to spend more time on his companies. Mr. Musk remains on good terms with Mr. Trump, according to White House officials. But he has also made it clear that he is disillusioned with Washington and frustrated with the obstacles he encountered as he upended the federal bureaucracy, raising questions about the strength of the alliance between the president and the world’s richest man.
Mr. Musk was the biggest known political spender in the 2024 election, and he told Mr. Trump’s advisers this year that he would give $100 million to groups controlled by the president’s team before the 2026 midterms. As of this week, the money hasn’t come in yet, according to multiple people familiar with the matter, who spoke on the condition of anonymity to describe the behind-the-scenes dynamic.
Mr. Musk did not respond to a request for comment. In a post on X, his social media site, on Wednesday night, he officially confirmed for the first time that his stint as a government employee was coming to an end and thanked Mr. Trump “for the opportunity to reduce wasteful spending.”
“The @DOGE mission will only strengthen over time as it becomes a way of life throughout the government,” he added, referring to his Department of Government Efficiency team.
The billionaire’s imprint is still firmly felt in official Washington through that effort, an initiative to drastically cut spending that has deployed staff across the government. But Mr. Musk has said in recent days that he spent too much time focused on politics and has lamented the reputational damage he and his companies have suffered because of his work in the Trump administration.
Musk did not hide his animus for the federal workforce, and he predicted that revoking "the COVID-era privilege" of telework would trigger "a wave of voluntary terminations that we welcome."
But some cabinet members who initially embraced Musk's outsider energy grew wary of his tactics, sources said. Over time, they grew more confident pushing back against his job cuts, encouraged by Trump's reminder in early March that staffing decisions rested with department secretaries, not with Musk.
Musk clashed with three of Trump's most senior cabinet members - Secretary of State Marco Rubio, Transportation Secretary Sean Duffy and Treasury Secretary Scott Bessent. He called Trump's trade adviser Peter Navarro a "moron" and "dumber than a sack of bricks." Navarro dismissed the insults, saying, "I've been called worse."
At the same time, Musk began to hint that his time in government would come to a close, while expressing frustration at times that he could not more aggressively cut spending.
In an April 22 Tesla conference call, he signaled he would be significantly scaling back his government work to focus on his businesses.
"The federal bureaucracy situation is much worse than I realized," Musk told The Washington Post this week. "I thought there were problems, but it sure is an uphill battle trying to improve things in D.C., to say the least."
DOGE GOES ON
Musk's 130-day mandate as a special government employee in the Trump administration was set to expire around May 30. The administration has said DOGE's efforts to restructure and shrink the federal government will continue.
Several cabinet secretaries are already discussing with the White House how to proceed without further alienating Congressional Republicans. But even as department heads will keep some DOGE infrastructure in place, they will likely move to reassert control over budgets and staffing, sources have told Reuters.
"The DOGE mission will only strengthen over time as it becomes a way of life throughout the government," Musk said. Trump and DOGE have managed to cut nearly 12%, or 260,000, of the 2.3 million-strong federal civilian workforce largely through threats of firings, buyouts and early retirement offers, a Reuters review of agency departures found.
At the same time, DOGE has hit a number of roadblocks, with federal courts at times propping back up agencies shortly after DOGE had moved to eliminate them. In some cases, staff and funding cuts have led to purchasing bottlenecks, increased costs and a brain drain of scientific and technological talent.
The most recent source of friction came on Tuesday when Musk criticized the price tag of Republicans' tax and budget legislation making its way through Congress.
"I was disappointed to see the massive spending bill, frankly, which increases the budget deficit, not just decreases it, and undermines the work that the DOGE team is doing," Musk told CBS News.
One source said the billionaire's decision to trash Trump's bill on television deeply upset senior White House aides.
His political activities have drawn protests and some investors have called for him to leave his work as Trump's adviser and more closely manage Tesla, which has seen falls in sales and its stock price.
Musk, the world's richest person, has defended his role as an unelected official who was granted unprecedented authority by Trump to dismantle parts of the U.S. government.
Having spent nearly $300 million to back Trump's presidential campaign and other Republicans last year, he said earlier this month he would substantially cut his political spending.
"I think I've done enough," Musk said at an economic forum in Qatar.
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