US President Donald Trump has informed his Cabinet members and close associates that billionaire and tech mogul Elon Musk will soon step down from his government role, according to Politico, which cited three sources familiar with the matter.
Musk, the CEO of SpaceX and Tesla, was appointed by Trump as a special employee to lead efforts to reduce government funding and dismantle certain US agencies. However, recent reports suggest that both Musk and Trump have agreed that it is time for Musk to return to focusing on his businesses, although no official date has been provided for his departure.
Representatives from the White House, the Musk-led task force, and Musk himself have not responded to requests for comment regarding the report.
The news about Musk’s departure caused a shift in the stock market, with shares of government contracting companies rising. Musk’s Tesla, which had initially fallen by 2% following a larger-than-expected decline in first-quarter deliveries, rebounded with a 3% increase after the announcement.
While neither Trump nor Musk has given a clear timeline for the transition, both have hinted at the change. When asked if he wanted Musk to stay longer than the original 130-day term he was appointed for, Trump responded: “I think he’s amazing, but I also think he’s got a big company to run. At some point, he’s going to be going back. He wants to.”
Musk’s role as a special government employee, based on the 130-day term, could end as early as May. Last week, Musk expressed confidence in completing his primary task—cutting $1 trillion in federal spending—before his time with the government ends. He shared with Fox News that he was optimistic about finishing much of the work before his term concludes.
As Musk prepares to return to his business ventures, the tech tycoon’s brief yet impactful role in shaping government spending and agency reform has garnered attention.
