The Journalistic understands that Elon Musk’s vow to retreat from politics has done little to calm the storm surrounding his leadership, as a fresh feud with the U.S. presidency sends shockwaves through his business empire.
Instead of a renewed focus on companies like Tesla, SpaceX, and X, the high-profile entrepreneur has become embroiled in a public spat with the president, sparking fresh concerns from investors and analysts. This confrontation has placed significant federal contracts and corporate performance at risk.
Tesla Shares Nosedive Amid Public Dispute
Shares in Tesla plummeted by 14% in a single day after Musk took to social media to criticise the head of state. The drop came amid rising tensions, with threats from federal figures to withdraw government support and contracts. While the stock recovered slightly the following day, investor confidence remains shaky.
Industry experts have long expressed concern over Musk’s divided attention, urging him to focus on innovation and operational leadership rather than online arguments. The Journalistic understands that many investors had hoped Musk’s political retreat would reinvigorate corporate growth—hopes now fading rapidly.
Tesla’s Lag in Autonomous Technology
Beyond politics, questions about Tesla’s ability to compete in the autonomous vehicle market are growing louder. Observers believe the company is lagging behind competitors, particularly in the development of driverless taxis. Tesla plans to launch autonomous robo-taxis in Austin, Texas, this month, but experts worry the project is being undermined by Musk’s distractions.
Tech analysts insist that the future of Tesla’s value lies in robotics and autonomy, but delivering on this vision requires intense focus—something Musk appears to be struggling with amid increasing controversy.
Investor Sentiment Hits a Low
Long-term backers of Tesla are losing faith. Some have begun scaling back their investments due to Musk’s increasing involvement in political discourse, which they argue is jeopardising shareholder value. Thursday’s market plunge was described as a “painful day” by financial insiders, who criticised Musk’s antagonistic approach toward federal leadership.
They argue that challenging government authority is damaging Tesla’s public image and straining its commercial viability, particularly as the company depends heavily on government incentives and contracts.
#TeslaTakedown and Public Protest Movement
Public dissent against Musk’s leadership is also mounting. The Journalistic has tracked a series of grassroots protests across the United States under the #TeslaTakedown banner. These demonstrations aim to highlight what activists view as Musk’s misuse of corporate influence and political power.
Recent earnings reports reveal troubling trends: a 20% decline in car sales and a 70% drop in profits during the first quarter of the year. Activists argue that the focus must shift back to innovation, sustainability, and transparency—not social media wars.
Influence Through Social Platforms
Musk’s ownership of social media platform X—formerly Twitter—has also drawn scrutiny. Critics claim the platform gives him unchecked influence over public discourse, which he has used to challenge political institutions and opponents.
The Journalistic understands that Musk purchased the platform not just for business purposes but also as a tool to project personal power and control narratives.
Could This Spat Rebuild Musk’s Image?
There are mixed views on whether this public dispute might ultimately help Musk repair his damaged brand among certain segments of the population. Some suggest that distancing himself from previous political affiliations could open the door to image rehabilitation, much like other high-profile tech leaders have done in the past.
Others remain sceptical, noting that the damage to his reputation, investor relations, and strategic focus may already be irreversible.
SpaceX and Starlink in the Crossfire
Complicating matters further is the fact that many of Musk’s ventures are deeply embedded in national security and government infrastructure. SpaceX is a key partner in transporting astronauts and cargo to space, while Starlink provides vital satellite communication services.
Although there have been threats to cut funding or revoke contracts, doing so would be extremely difficult without significantly disrupting essential services. Even amid tension, Musk has walked back some of his more dramatic declarations—such as threatening to decommission a space vehicle—indicating that both sides may still require each other.
Uncertain Future
The Journalistic concludes that the future of Musk’s empire is increasingly uncertain. The fallout from his political entanglements is weighing heavily on stock performance, brand perception, and executive decision-making. While Musk has weathered crises before, the combined pressure of public protest, investor discontent, and political retaliation may be his most formidable challenge yet.
As tensions escalate, the impact on Tesla, SpaceX, and other Musk-led companies could reshape not only the tech industry, but also the fragile relationship between private enterprise and public governance