50,000 Tweets and $150 Billion Later: Musk vs Trump Turns Ugly
In a clash of egos that could shake both politics and markets, Donald Trump and Elon Musk have gone from powerful allies to bitter rivals. Their spectacular breakup on June 5 didn’t just play out on social media—it sent Tesla stock plunging, wiped billions from Musk’s net worth, and raised questions about the future of government contracts and political loyalties.
This isn’t just a spat between two high-profile personalities. It’s a rupture that could reshape influence, capital, and control at the highest levels of American power.
From Rally Stage to Rage Tweets: How It All Fell Apart
Just a year ago, Musk was one of Trump’s most vocal backers—funding super PACs, appearing at campaign rallies, and even heading the Department of Government Efficiency (Doge) under Trump’s administration. Their alliance was as strategic as it was personal, blending tech power with political clout.
But cracks began to show when Musk openly criticized Trump’s massive federal spending bill, calling it fiscally irresponsible. Trump initially responded diplomatically, quietly showing Musk the door. But once Musk ramped up his public criticism, calling the bill a “disgusting abomination,” Trump retaliated in typical fashion—public insults and political threats.
Trump accused Musk of hypocrisy and being ungrateful, even going so far as to suggest canceling federal contracts worth billions. Musk retaliated with bombshell claims, including an explosive allegation that Trump was “in the Epstein files”—a claim yet to be substantiated but deeply damaging in implication.
The Market Reacts: Musk Takes a Massive Financial Hit
In the immediate aftermath of their feud, the financial impact was severe—Tesla shares nosedived 14%, wiping $150 billion off its market value in a single day. Musk personally lost $34 billion, the second-largest single-day loss in Bloomberg Billionaires Index history.
Investors are nervous, and for good reason. Tesla, SpaceX, and other Musk-led ventures are heavily intertwined with U.S. government contracts and subsidies. According to reports, his companies have around $3 billion in current government contracts, with $22 billion potentially at stake.
Trump’s threat to “terminate Elon’s Governmental Subsidies and Contracts” may have sounded rhetorical, but it clearly spooked Wall Street—and could become policy if the feud deepens.
Political Fallout: Is Trump Playing with Fire?
While Musk's financial wounds are visible, Trump isn’t without risk. Musk was a top campaign donor, contributing over $250 million during Trump’s last campaign. If Musk channels his fortune against Trump, the political consequences could be severe.
Musk’s reach is vast. His X platform (formerly Twitter) gives him direct access to 220+ million followers, double Trump’s following. He’s already used that megaphone to call for Trump’s impeachment and suggest launching a new political party that appeals to centrists.
Beyond funding and influence, Musk may possess insider knowledge from his time in Trump's inner circle. If he continues making damaging claims or releases sensitive information, it could weaken Trump’s re-election efforts or disrupt conservative momentum.
The Real Loser: Both Have Something Big to Lose
As this unprecedented fallout escalates, both men face high-stakes consequences. Musk has already lost billions and faces the threat of contract cancellations and political isolation. Trump risks losing a powerful donor, a tech ally, and opening himself up to reputational damage that could derail his 2028 campaign ambitions.
In the short term, Musk seems to be taking the bigger hit—financially and reputationally. But in the long game of politics and power, Trump may come to regret turning a tech titan into a sworn enemy.
For now, it’s a billionaire vs president cage match—and the world is watching.
(With agency inputs)
