President-elect Donald Trump announced Tuesday that Elon Musk will take on a role focused on improving government efficiency, further increasing the influence of the billionaire who contributed millions to Trump’s election efforts.
Musk, alongside former Republican presidential candidate Vivek Ramaswamy, will co-lead the newly formed Department of Government Efficiency, which Trump stated will function outside of the traditional government framework.
Trump described Musk and Ramaswamy’s roles as key to his administration’s goal to “dismantle Government Bureaucracy, slash excess regulations, cut wasteful expenditures, and restructure Federal Agencies.”
Since this role will be informal and not subject to Senate approval, Musk will be able to maintain his current leadership positions at Tesla, SpaceX, and social media platform X.
The department will collaborate with the White House and the Office of Management & Budget to “drive large scale structural reform, and create an entrepreneurial approach” in government that Trump claims is unprecedented.
The initiative is expected to conclude by July 4, 2026, aligning with the 250th anniversary of the Declaration of Independence.
As the world’s wealthiest individual, Musk is anticipated to gain considerable influence in government, likely benefiting his companies and their ventures in areas such as artificial intelligence and cryptocurrency.
Musk, who has extensive ties in Washington, has been an open supporter of Trump, both financially and publicly.
Equities analyst Daniel Ives of Wedbush Securities noted that Musk’s role in the Trump administration will likely be significant, with potential impacts across various federal agencies.
“We believe the major benefits for Musk and Tesla far outweigh any negatives, marking a ‘poker move for the ages,’” Ives remarked.
Public Citizen, a consumer rights group, criticized the decision, with co-president Lisa Gilbert saying, “Musk not only knows nothing about government efficiency and regulation, his own businesses have regularly run afoul of the very rules he will be positioned to attack. This is the ultimate corporate corruption.”