Musk turns away from Trump in bid to rescue Tesla
Having created havoc in Washington and turned Tesla into a toxic brand around the world, Elon Musk is now retreating from politics and has recommitted himself to Tesla for the next five years. US public servants and Tesla shareholders will both be relieved.
In a video interview aired at the Qatar Economic Forum on Tuesday, Musk, who spent more than $US250 million ($390 million) funding Donald Trump and the Republicans in last year's elections, said he planned to cut back his political spending.
'I think I've done enough,' he said, adding a caveat that, if he saw a reason to resume spending, he would.
'I do not currently see a reason.'
That diminished financial role in US politics – after he spent $US25 million in a failed attempt to get a Republican judge appointed to the Wisconsin Supreme Court – and the winding down of his role in DOGE (the Department of Government Efficiency) will be applauded by Tesla investors.
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They had seen their share price plummet nearly 50 per cent from just before Inauguration Day in January – wiping about $US640 billion from the company's market capitalisation – until Musk, late last month, said he would start allocating more time to Tesla.
That started a turnaround in the share price, which initially jumped 3.6 per cent after Tuesday's comments, before settling 1.73 per cent up for the day. It's now 'only' 20 per cent below this year's peak in January.
On Tuesday, Musk said he would still be chief executive of Tesla in five years' time – unless he died – and reiterated that he wants to own 25 per cent of Tesla to have some control of the company (he currently owns about 12.8 per cent).
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