Elon Musk appeared alongside newly elected President Donald Trump at Mar-a-Lago shortly after the election, with the winner himself displaying confidence.
“The public has given us a mandate that couldn’t be clearer. The people spoke. The people want change,” Musk told an audience of Trump’s top donors and campaign leaders.
“We’re going to shake things up. We will make a revolution,” he added.
The connection between Musk and Trump has created an alliance between America’s most powerful politician and its wealthiest businessman. A recent survey by the NORC Center for Public Affairs Research and the Associated Press reveals that Americans have nearly equal positive views of both figures.
Experts are divided on whether this is good or bad for Musk’s businesses or for Trump’s political strategy, but it could have a wide-reaching impact on both.
Musk, whose fortune is estimated at $400 billion, oversees six companies while continuing to work closely with Trump. These include electric car company Tesla, social media platform X (formerly Twitter), aerospace technology company SpaceX, Neuralink—which aims to help paralyzed individuals communicate through brain implants—xAI, a company focused on scientific discovery and advancing artificial intelligence, and The Boring Co., which builds cost-efficient underground transportation tunnels.
“While there may be a negative impact, which could isolate some customers who may not support Trump, the benefits will outweigh the losses when it comes to having a position as Trump’s right-hand man in the White House,” said Dan Ives, an analyst at Wedbush Securities.
Ross Gerber, CEO of Gerber Kawasaki Wealth and Investment Management, an investment firm, also a Tesla shareholder, owns a highly publicized Tesla Cybertruck, despite concerns over its safety.
“Having an executive who doesn’t work in the company where you’ve invested, and who will be tasked with firing government employees… as a shareholder, as an investor, I’m paying someone who won’t work for the company I’ve invested in,” he said, calling this situation unfair.
Despite his skepticism, Gerber stated that he will continue investing in Musk’s businesses.
“I’ve made a lot of money with Elon,” he said. “I didn’t invest based on the CEO’s popularity.”
Musk’s Popularity Similar to Trump’s
Musk doesn’t seem to be helping Trump among those who don’t support the incoming president. He isn’t more popular among Americans than Trump himself, and about half of Americans do not support either Musk or Trump, according to the poll.
Around 40% of Americans hold a somewhat or very favorable view of Musk, almost identical to the percentage who support Trump. Similarly, around half of American adults hold a somewhat or very unfavorable view of Musk, a figure that mirrors Trump’s support.
According to political expert Christine Matthews, Musk is the perfect person to help Trump reinforce the image he has cultivated of himself as a successful businessman, filling his cabinet or appointing billionaire business leaders as advisers.
“Trump has always propagated the image of a highly successful businessman. Having Musk with him reinforces that image, showing he is the right person for the economy, the one who is good for everyone to make money,” said Matthews, a pollster who has worked with Republicans.
Musk also owns X, the social media platform formerly known as Twitter, which he has turned into a megaphone for conservative ideas.
After spending around $250 million to support Trump during the election, Musk has signaled his willingness to back Republican bids for Congress in 2026, coinciding with the middle of Trump’s presidential term.
Trump has tasked Musk with leading a group focused on reducing the federal government and its regulations.
Musk’s Businesses and the Trump Era
Tesla is expected to secure significant profits under the Trump administration, which has threatened to cut subsidies for alternative energy and electric vehicles—moves that would hurt smaller Tesla competitors. Furthermore, Trump’s plans for large tariffs on Chinese imports make it less likely that Chinese electric cars will be sold in bulk in the U.S. anytime soon.
Some analysts believe that Musk’s role will create a very favorable climate for Tesla in the coming years.
Ives, from Wedbush Securities, said that Musk’s relationship with Trump could “revolutionize Tesla’s story, especially around robotics, artificial intelligence, and self-driving cars.”
Investors, he said, are optimistic about Musk and view his rise in politics as a unique opportunity worth celebrating.
Unlike Gerber, Ives believes that the elimination of the $7,000 tax benefit for individuals purchasing electric vehicles and the removal of subsidies for American automakers, as well as for companies like Hyundai, will create opportunities for Tesla.
Tesla’s stock reached a record high on Tuesday, with much of the company’s recent profits coming after Trump’s victory.
However, Gerber believes that Tesla will be the “big loser” among Musk’s businesses due to Trump’s promise to end tax benefits for electric car purchases.
Other Musk companies—including the AI-focused xAI—could benefit from his close work with the Trump administration, said Gerber.
“Artificial intelligence is a transformative investment that will require the approval of many regulations, especially concerning safety and information,” he added, noting that this works in Musk’s favor, being “where he is.”
A Unique Relationship
The relationship between Trump and Musk is unique in the country’s history, says David Nasaw, a biographer of American business magnates Andrew Carnegie and William Randolph Hearst.
He points out that Musk’s success, unlike that of other tycoons, has relied on subsidies and government decisions that have favored his businesses—from Tesla to SpaceX.
“He’s a rare individual,” said Nasaw, referring to Musk. /VOA
