DOGE staffers brace for collateral damage from Trump and Musk’s social media beef
The Department of Government Efficiency (DOGE) is now the one on the chopping block in an ironic twist following the recent collapse of Trump and Musk’s friendship.
With Musk and Trump publicly losing patience with one another, the staff affiliated with their joint initiative, the Department of Government Efficiency, are left to brace for a broad range of impending repercussions.
U.S. President Donald Trump and tech billionaire Elon Musk’s fallout has put the high-profile federal reform effort at the Department of Government Efficiency, previously led by Musk, in danger.
DOGE-affiliated staffers are currently grappling with what they’re calling “collateral damage” from the very public feud between Musk and Trump.
According to sources close to the matter, the DOGE employees were caught off guard by how quickly the Trump-Musk spat got out of hand. The staff were reportedly up late Thursday, texting themselves as the feud escalated. Many of them shared fears of being laid off or having the project quietly shelved.
The White House has so far maintained that DOGE’s achievements are “undisputed,” but the staff worries that the loss of Musk may signal the beginning of the end.
“I worry with Elon gone, no one will join, and it will just slowly fade away,” Sahil Lavingia, a former Department of Government Efficiency software engineer who was embedded at the Department of Veterans Affairs, said. “Working at DOGE felt like pushing a boulder up a mountain, and it’ll just fall back down if the work doesn’t continue.”
Much of the agency’s success had been tied to Musk’s private-sector influence and the enthusiasm he brought from Silicon Valley. Many DOGE employees were recruited from Musk’s companies, including Tesla, SpaceX, and the Boring Company.
With Musk’s departure, they now face a chasm in leadership . Steve Davis, DOGE’s de facto chief of operations, has also exited the project.
Recently, Anthony Armstrong, another Musk ally who joined him, also left the initiative. His April departure was confirmed by the Office of Personnel Management.
DOGE’s backers in Congress, many of whom were initially aligned with Musk, are now being forced to choose sides. Several Republican lawmakers remain publicly committed to the DOGE mission, although their tone fails to reflect that.
“It seems to me Elon thought he was co-president, and everyone except Elon knew that would never happen. Now, his feelings seem hurt.” Sen. Kevin Cramer (R., N.D.) said.
“My heart aches,” Rep. Aaron Bean (R., Fla.) told reporters. “You see two friends fighting, and it’s sad that it escalated so quickly.” He expressed hope that reconciliation might be possible and joked that a shared Diet Coke, which is Trump’s drink of choice, might patch things up.
The Office of Management and Budget (OMB) Director Russell Vought is working to preserve what remains of the DOGE’s agenda. He is currently conducting a $9.4B rescissions package through Congress. The proposal would lock in $8.3B in foreign aid cuts and other spending reductions attributed to DOGE.
Vought said in congressional testimony this week that “cabinet agencies that are in charge of the DOGE consultants that work for them are fundamentally in control of DOGE.”
James Fishback, who was an early DOGE advocate and a Florida investment manager, publicly distanced himself from Musk and sided with Trump. “Elon’s behavior is downright disturbing,” Fishback said, urging Musk to apologize.
Former Trump strategist Steve Bannon, who has long criticized Musk, also piled on the tech giant this week. On his War Room Live show, Bannon declared the agency a failure. “Musk promised a trillion dollars in cuts in waste, fraud, and abuse,” Bannon said. “We’ve seen barely a fraction of that, and now he’s out. It’s a farce.”
Despite the chaos, the Trump administration continues to boast of DOGE’s record. The White House claims the department has saved the federal government $180B through job cuts, canceled contracts, and asset sales.
However, independent budget analysts are critical of those figures, arguing that the math behind the savings is opaque and overly optimistic.
“There’s a difference between claimed savings and realized savings,” one budget analyst noted anonymously. “We don’t yet know how much of what DOGE did is sustainable.”
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Trump vs. Musk feud hits Tesla stock, but not its future
Elon Musk’s back-and-forth with President Donald Trump last week sent Tesla’s share price tumbling. However, industry observers say it’s unlikely to slow the automaker’s long-term goals, including its much-anticipated robotaxi service.
The public spat began when Musk criticized the Republican spending bill for cutting electric-vehicle tax credits, a move he warned would add more than $2.4 trillion to the U.S. deficit.
Trump responded by threatening to cancel government contracts with Musk’s companies. Musk then fired back, saying he would shut down SpaceX’s Dragon spacecraft before backing away from that threat.
On Thursday of last week, the TSLA stock slid 14%, erasing about $138 billion from its market value. The shares recovered some ground the next day, but Musk still saw one of the biggest single-day drops in personal wealth ever recorded, an estimated $34 billion hit to his net worth as reported by Business Insider .
Despite the headlines, analysts say there’s little reason to believe the feud will leave lasting scars on Tesla’s core business.
“Musk’s and Trump’s relationship has an impact on the stock and maybe investor sentiment, but as far as the actual business impact for Tesla, I never thought Trump getting elected was positive or that negative for Tesla,” Morningstar analyst Seth Goldstein told Business Insider. “So with the feud that started between Trump and Musk, I never really viewed that as that positive or negative for Tesla either.”
Goldstein noted that the more significant concern for Musk and other EV makers is the broader political push to trim or eliminate subsidies.
President Trump has already signaled he would cut electric-vehicle tax credits, a change Gene Munster of Deepwater Asset Management warned could shrink Tesla’s deliveries by about 15% in 2025.
As Tesla gears up to launch its robotaxi service in Austin this June, most analysts don’t think the federal government will try to stop it. Munster argues that self-driving cars are a key part of “physical AI,” and that the U.S. has an interest in leading both digital and real-world artificial intelligence. He expects “cooler heads to prevail” and for Washington to keep supporting the technology.
Goldstein says the government has almost no way to block Tesla’s self-driving plans. While the Department of Transportation is reviewing federal safety rules for self-driving vehicles, he said it’s unlikely regulators would mandate expensive lidar sensors just to target Musk’s company.
“If Trump wanted to hurt Elon, they could more easily cut SpaceX contracts than create a convoluted policy against Tesla,” he said.
Morgan Stanley analyst Adam Jonas echoed the broader sentiment in a note released Friday.
He said the Musk-Trump dust-up doesn’t change the “longer-term vectors that drive the stock’s value,” pointing to the EV maker’s work in AI, robotics, manufacturing, supply-chain redesign, renewable energy, and critical infrastructure.
By late Friday, the public exchange of former best friends had died down. In a Saturday interview with NBC News, Trump said he doesn’t plan to reconcile with Musk and warned him against backing Democratic candidates . Yet, on Friday, while talking to reporters on Air Force One, the president said on a lighter note, “I hope he does well with Tesla,” Trump said.
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すべてのソーシャル概要
3.1