Elon Musk Plans to Reduce Political Spending, Commits to Tesla CEO Role for Five More Years
- Rahaman Hadisur
- May 22
- 2 min read
Hadisur Rahman, JadeTimes Staff
H. Rahman is a Jadetimes news reporter covering Business
Elon Musk, the billionaire CEO of Tesla, announced his intention to significantly cut back on political spending while reaffirming his commitment to remain at the helm of the electric vehicle manufacturer for another five years. His remarks, made during an economic forum in Qatar on May 20, come amid growing concerns about his dual roles in the automotive industry and his involvement with the Trump administration.
Musk has been a prominent Republican donor, contributing approximately $250 million to help Donald Trump secure the presidency and establishing the Department of Government Efficiency (DOGE), which he currently leads. His close ties to the political sphere have raised questions about his focus on Tesla, the world's most valuable automaker.
"In terms of political spending, I'm gonna do a lot less in the future. I think I've done enough," Musk stated, indicating a shift in priorities as he seeks to concentrate on Tesla's growth and stability. He emphasized that maintaining reasonable control over the company was crucial for his continued role as CEO, noting that he owns about 13% of Tesla.
Musk's comments come at a time when Tesla's stock has faced volatility, with shares briefly rising 3.3% following his announcement but later paring gains to a 1% increase. The stock is down 15% year-to-date, reflecting investor concerns over the company's performance and Musk's political affiliations.
Earlier this month, Tesla chair Robyn Denholm denied a report from the Wall Street Journal suggesting that board members had begun searching for potential replacements for Musk. The CEO reassured attendees that Tesla had successfully turned around sales, with strong demand in regions outside of Europe, where protests against his political views have emerged.
Despite a reported 13% drop in first-quarter deliveries, some investors are bracing for a potential decline in 2025, as backlash against Musk's political moves and customer anticipation for more affordable versions of the redesigned Model Y crossover continue to impact sales.
In addition to his role at Tesla, Musk leads several other ventures, including SpaceX and the satellite internet service Starlink. He hinted that Starlink might go public in the future, as the service expands rapidly across more than 70 countries, particularly in emerging markets like India.
Musk also addressed the topic of artificial intelligence, advocating for some level of regulation while cautioning against overregulation. He founded the AI company xAI in 2023 to respond to the growing adoption of generative AI and is currently ramping up data center capacity to train more advanced models, with significant investments being made in its supercomputer cluster, "Colossus," located in Memphis, Tennessee.
As Musk navigates the complexities of his multifaceted career, his commitment to Tesla and plans to reduce political involvement may shape the company's future trajectory and investor confidence in the coming years.
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