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Elon Musk began the week of 10 March with a friendly sit-down interview on Fox Business to talk about his work with the so-called “department of government efficiency” (Doge) and the state of his businesses. Already, it had been a trying few days for the world’s richest man, who was facing a Tesla stock selloff and fierce backlash over his attempts to radically overhaul the federal government. His net worth declined over $22bn on Monday alone.
After Musk jokingly brushed off initial questions about the mounting pressure, host Larry Kudlow asked the Tesla and SpaceX CEO how he was managing to run his numerous companies amid the chaos.
“With great difficulty,” Musk answered, at first chuckling then taking a long sigh and staring off into the middle distance. “I mean … yeah”.
The past 10 days have marked several of the most significant setbacks for Musk in months. Tesla, arguably his marquee company, continued to fall in value as investors worried about the threat of trade war and possible recession – as well as declining profits. Escalating protests against the company over the billionaire’s role in the government also grew in number and intensity across the US, coupled with rising cases of vandalism and social stigma against his cars. SpaceX has also struggled, with one of its rockets dramatically exploding in midflight last week and then an announcement on Wednesday that it was delaying a rescue mission to retrieve “stranded” astronauts. The company tried again two days later.
Adding to Musk’s headaches, his social media platform, X, experienced widespread outages throughout the day on Monday. During his Fox Business interview, he claimed that it was the result of a “massive cyberattack” that the company had traced to the area of Ukraine.
Musk is also dealing with increasing pushback over his role at Doge. Multiple outlets reported that the “first buddy”, as he’s christened himself, got into a heated exchange with Marco Rubio, the US secretary of state, during a White House meeting last week, which ended with Donald Trump appearing to rein in Musk’s power to make staffing decisions at government agencies with a Truth social post. A federal judge in California also issued a preliminary injunction on Thursday to reinstate thousands of the workers that Doge mass fired. Meanwhile, polling this week from Quinnipiac University shows that despite Musk repeatedly declaring that the public loves what Doge is doing, a strong majority of people disapprove of his initiative.
After a long string of victories for Musk that included soaring share prices and a period of seemingly unchecked power following Trump’s inauguration, some signs of strain are beginning to show on his grip on his empire. He has lost around $119bn this year so far, although staggeringly still boasts a fortune $100bn greater than the next richest man in the world, and faces questions from investors on whether his political activity is hurting his companies.
Rather than step away from his role in the White House, however, Musk appears to be doubling down.
Musk turns to Maga world to turn Tesla’s fortunes around
Two days after his labored appearance on Fox Business, Musk was once again in front of the cameras. This time, he was smiling alongside Trump on the White House lawn as the president cooed over a new red Tesla Model S and gushed to reporters about what a wonderful car it was.
“Everything is computer,” Trump said, sitting in the driver’s seat. “That’s beautiful!”
At the climax of the transformation of the White House into a car dealership, Trump announced that he had bought the Model S. He likewise spoke out in support of Musk and told reporters that Americans should “cherish” the billionaire. Others in the Maga world soon followed suit, declaring their backing for Tesla and urging their followers to do the same.
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“I just ordered my new self driving Tesla!” Fox News host Sean Hannity posted the same day on X. “Details on how to win the Tesla of your Choice soon on Hannity.com!”
The scene at the White House was a striking use of the presidency to endorse the business of the commander-in-chief’s biggest financial backer. However, the display also gave the impression that Musk needed Trump to reverse his string of losses and quell the backlash against him. Trump stated at the event that he would label demonstrations against Tesla showrooms as domestic terrorism. Attorney general Pam Bondi announced on Friday she would launch an investigation into vandalism targeting the company.
“They fought the law and the law won,” Musk posted on X above news that Bondi was threatening vandals with up to 20 years in prison for attacking Tesla dealerships.
The backlash against Tesla does not appear to be slowing; more protests against Tesla are set for the coming week. In response, Musk is deepening his embrace with the Maga world, including its most distasteful denizens. He spent a sizable part of Friday afternoon posting support for Tesla and Doge from rightwing media influencer accounts and Fox News clips. At one point, he retweeted a post that compared attacks against Tesla vehicles and dealerships to Kristallnacht, the infamous Nazi pogrom against Jewish-owned businesses that took place at the onset of the Holocaust.
