Elon Musk recently spent some time with Donald Trump at Mar-a-Lago and even took a ride on Air Force One. However, his companies are currently facing some significant challenges.
Musk’s social media platform, X, experienced major outages, while shares of Tesla plummeted 15%, wiping out gains made since Election Day. Additionally, SpaceX is dealing with the consequences of yet another rocket explosion.
This turmoil has severely impacted Musk’s wealth, as he lost $29 billion in one day, according to the Bloomberg Billionaires Index. Despite his involvement in politics and his new role focused on government efficiency, his businesses are struggling.
In a recent Fox News interview, Musk admitted that juggling his responsibilities at his companies and his work for the Trump administration is quite difficult. His drive for hard work—often pushing himself to work 16 hours a day—shows that even high-profile leaders need to prioritize managing their companies effectively.
While the stock market overall took a hit, Tesla’s decline was particularly steep. Trump’s support for Musk includes a promise to buy a Tesla, highlighting their ongoing connection. He praised Musk for his contributions to the nation in a post on Truth Social.
Musk responded with gratitude on his platform, X. Initially, when Trump won the presidency, many believed that Musk’s close ties to him would help Tesla navigate regulatory hurdles. Unfortunately, things did not turn out as expected.
Tesla’s sales are decreasing, particularly in Europe. Analysts suggest that heightened competition and Musk’s political actions could be influencing this drop. Protests against Tesla have also intensified, with incidents of vandalism occurring at charging stations and dealerships.
Musk has actively defended Tesla, reposting supportive messages and criticizing activists he believes are behind the negative attention. Trump echoed these sentiments, claiming leftist groups are trying to undermine Musk and his business efforts.
In response to concerns about Tesla’s future, Musk expressed optimism, saying the company will be fine in the long run. This follows recent technical issues faced by X, which experienced significant outages. Musk attributed these problems to a massive cyberattack.
Experts, however, advise caution in accepting claims of cyberattacks without thorough investigation. Musk had purchased X for $44 billion, but it’s been estimated that much of its value has since evaporated.
Meanwhile, SpaceX faces its own setbacks, with the first two launches of the Starship rocket resulting in explosions. The latest incident even caused flight disruptions. Musk remains hopeful, viewing these setbacks as minor challenges. The Federal Aviation Authority is still looking into the failure of the rockets.
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