Elon Musk has shed light on his evolving role within the Trump administration amid a sharp drop in Tesla’s profits.
Following President Donald Trump’s return to the White House, his administration announced sweeping plans to streamline government operations. Among these was the appointment of Musk to lead the newly established Department of Government Efficiency (DOGE), tasked with slashing unnecessary federal spending—a mission the department claims to be fulfilling.
According to Musk, DOGE initiatives have already saved the government $65 billion through a mix of asset sales, contract terminations, lease renegotiations, fraud prevention, grant cancellations, interest reductions, regulatory reforms, and workforce cuts.
However, independent verification of these figures has proven difficult. A recent report even suggested that nearly $1 billion in projected savings may have “vanished” overnight, casting doubt on the department’s accounting.
At the same time, Musk faces mounting challenges at Tesla. The company is grappling with a $981 million decline in profits, instances of vandalism targeting vehicles and showrooms, and significant stock volatility.
Against this backdrop, Musk has now shared how he plans to divide his time between his governmental duties and his leadership at Tesla going forward.
Elon Musk has been heading Donald Trump’s DOGE since his inauguration (BRENDAN SMIALOWSKI/AFP via Getty Images)
During a company earning’s call, Musk has said that his time running DOGE will be reduced ‘significantly’ from May as he focuses on running Tesla.
He went on to say that he’ll continue to spend ‘day or two per week’ on government issues ‘for as long as the president would like me to do so’ (via CNBC).
Musk’s involvement in politics has caused some controversy.
Last month, Ross Gerber, one of Tesla’s earliest investors, boldly called on Musk to be replaced as the Tesla CEO amid his governmental role.
Speaking on Sky News, Gerber said: “The company’s reputation has just been destroyed by Elon Musk.
“Sales are plummeting so, yeah, it’s a crisis. You literally can’t sell the best product in the market place because the CEO is so divisive.
“It’s time for somebody to run Tesla. The business has been neglected for too long.”
Elon Musk’s time on DOGE will ‘drop significantly’ (Andrew Harnik/Getty Images)
Tesla’s share price has plunged by over 50% since December, as the company reported a staggering $981 million drop in profits, according to Sky News.
Musk’s role in the Trump administration, it turns out, was never intended to be permanent. His tenure as head of the Department of Government Efficiency (DOGE) was reportedly capped at 130 days.
Both President Trump and Musk have alluded to a gradual transition that would see the billionaire entrepreneur step back from his governmental duties. During an interview with Fox News‘ Bret Baier last month, Musk was asked if he’d be ready to leave when his term ends. He responded, “I think we will have accomplished most of the work required to reduce the deficit by $1 trillion within that time frame.”
Earlier this month, Trump echoed the sentiment, telling reporters, “At some point, Elon’s going to want to go back to his company.”
