The alliance between Donald Trump and Elon Musk has suffered a major collapse. This situation has seriously jeopardized both Musk’s billions of dollars in government contracts and Trump’s tax reform plans. The two, previously political allies, reportedly received over $250 million in donations from Musk to Trump’s campaign.
However, the relationship deteriorated when Musk resigned from his government position, harshly criticized Trump’s tax law, and alleged that Trump concealed his ties to Jeffrey Epstein.
Trump responded by canceling Musk’s billions of dollars in federal contracts.
Musk briefly threatened to disrupt US space missions through SpaceX, but later retracted these statements.What’s at Risk?
- Over $3 billion in federal contracts
- Tesla’s $152 billion loss in market value
- Increasing regulatory pressure on SpaceX, Neuralink and other Musk companies from agencies like the FAA, FDA and SEC
Trump’s Tax Reform Shakes
Trump in the Senate The debated tax reform package risks losing Republican support after Musk described it as a “terrible disgrace.”
A Major Crisis at the Intersection of Technology and Politics
This divergence has created a serious shock at the intersection of politics and the technology world, causing great concern in both markets and Silicon Valley. This conflict between two giant figures could affect both economic and political balances in the long term.
