Elon Musk Steps Down as Head of Government Efficiency Department Amid Controversy and Business Struggles

Breaking News: Elon Musk Departs as Head of Department of Government Efficiency

In a surprise move, billionaire entrepreneur Elon Musk has announced his departure as the de facto head of the Department of Government Efficiency (DOGE), effective immediately. Musk made the announcement via social media platform X on Wednesday, citing the end of his scheduled time as a Special Government Employee. An anonymous White House official confirmed the news to the Associated Press.

Musk expressed his gratitude to President Donald Trump for the opportunity to reduce wasteful spending, stating that the DOGE mission will continue to strengthen over time. However, the reality of Musk’s tenure at DOGE has been marked by significant challenges and controversy. Initially, he promised to cut government spending by a minimum of $2 trillion, but later revised this goal down to $150 billion. The department’s actions have resulted in the layoffs of over 280,000 government workers and the dismantling of several agencies, including the U.S. Agency for International Development (USAID).

Musk’s departure comes as his companies, including Tesla, X, and SpaceX, struggle to recover from reputational damage caused by his political involvement. Tesla’s sales have plummeted, with a 71% drop in profit during the first quarter of 2025. Social media platform X has lost millions of users and advertisers, while SpaceX has experienced a series of setbacks, including the explosion of its latest Starship test flight.

In recent weeks, Musk has acknowledged that he spent too much time on politics, diverting attention away from his companies. He told Ars Technica, "I think I probably did spend a bit too much time on politics… It’s not like I left the companies. It was just relative time allocation that probably was a little too high on the government side, and I’ve reduced that significantly in recent weeks."

As Musk returns his focus to his companies, it remains to be seen how his departure from DOGE will impact the department’s mission and the future of his business ventures. One thing is certain, however: Musk’s exit marks a significant shift in the landscape of American politics and business, and his next moves will be closely watched by observers around the world.

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