Introduction
Just a few weeks ago, joint photos of Donald Trump and Elon Musk in the Oval Office were meant to symbolise a new era of American power - a marriage of technology, power and innovation. Today, that is all in the past.
The divorce of the century - as the media describe it - has just become a reality. And as in any dispute over dividing assets, it is about influence, big money and bruised egos.
Behind the Scenes of the Collapse of a Political and Business Alliance
The Musk-Trump relationship was unusual from the start. On one side, an eccentric innovator; on the other, a hard-line politician. Their partnership began with great hopes - Musk supported Trump's 2024 campaign with more than $250 million, gaining in return unprecedented influence over the federal administration as the informal head of the Department of Government Efficiency (DOGE).
But the honeymoon ended with the presentation of Trump's "One Big, Beautiful Bill", in which Musk saw… an attack on the future of electric mobility. Among other things, the bill provided for the elimination of subsidies for electric cars and an increase in the deficit of hundreds of billions of dollars.
The Impact on the Economy? Gigantic
The market reaction was immediate:
- Tesla shares fell by 15%, wiping out more than $100 billion in market value,
- JPMorgan warns that the abolition of the $7,500 federal EV subsidy alone could mean a loss of $1.2 billion in annual profit for Tesla,
- $3 billion in government contracts for SpaceX - at risk.
Musk is not the only one who could suffer. Companies such as Ford and GM, which invested billions in electric vehicle production counting on stable regulation, now find themselves in a state of legislative uncertainty.
Elon Against the Whole System
For the first time since taking over Twitter (now X), Musk has so openly rebelled against the establishment. In an emotional post, he announced the creation of a new centrist party and financial support for candidates opposing Trump's bill.
This is more than a political game. It is a fight over who will define the future of America: a technocratic visionary or a populist leader on a mission to "overthrow the dictatorship of electromobility"?
A Change of Tone: From Jokes to Attacks
Joint selfies once, personal attacks today:
- Trump mocks Musk's appearance, referring to his black eye ("Why didn't you cover the bruise with make-up?"),
- Musk retorts with insinuations about the president's links to the "Epstein files" - which the Democratic Party immediately seized upon, demanding their release.
The war is therefore moving from the level of politics to the ground of personal accusations, which may have far-reaching legal and media consequences.
What Next?
Despite announcing his withdrawal from politics, Musk is still actively publishing manifestos, running polls and... preparing the ground for a new party. Trump, for his part, is trying to take control of the narrative in right-wing media, presenting himself as a guardian of sensible public spending.
The Firm's Commentary
For entrepreneurs, investors and market observers, this is a warning sign:
- Political alliances in the US can have a huge impact on the market,
- Legislative changes, even those announced during a campaign, can translate into real losses or gains worth billions of dollars,
- A predictable regulatory environment is now becoming the greatest asset - especially in the new technologies sector.
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