Elon Musk Steps Back from Government Role as Tesla Faces Challenges
ICARO Media Group
**Elon Musk to Reduce Role in Government Amid Tesla Struggles**
Tesla CEO Elon Musk's tenure at President Donald Trump's Department of Government Efficiency (DOGE) has seen some bold moves, including plans to slash federal costs by up to $2 trillion and implementing significant layoffs and contract cancellations. However, while Musk maintained a high profile in his governmental position, Tesla faced mounting challenges.
In the first quarter, Tesla's deliveries plummeted by 13%. The electric vehicle giant's market share in Europe dwindled to under 9%, dropping significantly from approximately 18% the previous year. March saw a double-digit decline in Tesla's China sales amidst increasing competition, while the company's shares have fallen 12% for the year to date.
On the Q1 2025 earnings call, Musk addressed growing investor concerns and business obstacles at Tesla, announcing that he would significantly reduce his involvement with DOGE starting in May. In a candid exchange with reporters at the White House last month, Musk revealed how demanding his initial months at DOGE had been, expressing his intention to focus more on managing his businesses moving forward.
Musk recounted his early days commuting to Washington, sharing that he often stayed in the White House's Lincoln Bedroom at President Trump's invitation. He reminisced about the president's hospitality and late-night ice cream suggestions, referring to Trump as a "good friend."
Despite the demanding schedule, Musk found time to indulge in his favorite hobby. He described the "comically tiny" office he was assigned on the top floor of the West Wing, with a window offering a view of an HVAC unit and minimal sunlight. In his downtime, Musk would connect a large monitor to his computer and play video games like Diablo and Path of Exile.
Confident in the sustainability of the changes he enacted, Musk assured that DOGE could operate smoothly without his constant oversight. Drawing an analogy to Buddhism, he expressed that DOGE's principles would maintain its functionality irrespective of individual leadership.