By Mary Jones | Thursday, April 24, 2025 | 4 min read
Elon Musk is shifting gears—again. After months of juggling his duties at Tesla with a high-profile (and often controversial) role in the Trump administration, the billionaire CEO announced he’s scaling back his involvement with the Department of Government Efficiency (DOGE) to refocus on Tesla. The news came as the electric carmaker reported a brutal quarter, with profits plunging and sales hitting a three-year low.
Musk’s Divided Attention—and Tesla’s Falling Numbers
During Tuesday’s earnings call, Musk told investors he’ll soon cut his DOGE commitments to just “a day or two a week,” starting in May. The move follows mounting criticism that his political entanglement has hurt Tesla’s brand and bottom line.
But Musk defended his work at DOGE, insisting it was necessary to combat “waste and fraud” in government. “If the ship of America goes down, Tesla will go with it,” he argued, urging shareholders to stay patient despite the company’s recent struggles.
Those struggles are hard to ignore. Tesla’s revenue dropped 9%, while auto sales revenue plummeted 20%. Adjusted income crashed by 39%, and net profit—the strictest measure of financial health—was down a staggering 71% compared to last year.
Trade Wars, Tariffs, and Tesla’s Uncertain Future
The company blamed part of its woes on the escalating trade war, warning that shifting global policies have made it difficult to predict costs and demand. While Tesla is less vulnerable to auto tariffs than foreign carmakers (since it builds its U.S. vehicles domestically), it still relies on imported parts—leaving it exposed to supply chain disruptions.
Musk avoided directly criticizing Trump’s trade policies but made his stance clear: “I’ve been on the record many times saying lower tariffs are a good idea for prosperity.” Still, he admitted, “That’s all I can do.”
Protests, Politics, and Plummeting Sales
Tesla’s problems aren’t just financial. Musk’s political activism—particularly his support for far-right parties in Europe—has sparked protests outside Tesla showrooms and even vandalism at some facilities. Analysts say the backlash has contributed to slumping sales, especially in Europe.
Musk dismissed the protests, claiming without evidence that critics were simply upset over DOGE’s crackdown on “waste and fraud.” But the numbers tell a different story: Tesla just posted its worst quarterly sales in nearly three years, delivering 50,000 fewer cars than the same period in 2023.
Meanwhile, competitors like China’s BYD are gaining ground, outselling Tesla in multiple quarters. If current trends hold, Tesla could lose its crown as the world’s top EV seller by 2025.
A Brighter Future—or More Empty Promises?
Despite the grim results, Musk remained characteristically optimistic. He promised “more affordable models” by mid-2025 and doubled down on his vision for a self-driving “robotaxi” with no steering wheel or pedals. (Tesla has missed similar deadlines before.)
Investors seemed cautiously hopeful—Tesla’s stock rose 4% after hours on news of Musk’s DOGE exit. But with sales declining, competition rising, and Musk’s attention constantly pulled in multiple directions, the road ahead looks anything but smooth.
Let’s be blunt: Musk has become a political liability, not an asset.
He embraced Trumpworld, took the helm of a government agency, and made himself the mascot of anti-bureaucratic theater. Then came the backlash — protests outside Tesla showrooms, vandalism, and tanking sales in Europe, where Musk has cozied up to far-right parties. At home, his Tesla loyalists are wondering where the hell their CEO went.
And what did he offer investors this week? A vague promise to shift gears. A wink toward affordable models that don’t exist yet. A reboot of his robotaxi fantasy — still no pedals, still no proof. Musk keeps insisting the future is bright, but right now the present looks like a damn train wreck.
He says he’s not to blame. Blames the economy. Blames trade policy. Blames “waste and fraud” for the protesters outside his stores. What he won’t do is look in the mirror.
Because the real problem isn’t tariffs or macros or haters — it’s Elon Musk’s ego. The man tried to run Tesla, run a federal agency, play diplomat, fight culture wars, and moonlight as a philosopher-king of the free market. That kind of megalomania isn’t visionary — it’s reckless. And now, the company he built is choking on it.
The irony? Musk’s detour into politics was supposed to make things better — for America, for government, for Tesla. Instead, he’s shown us exactly what happens when one man tries to do everything and ends up doing nothing well.
Tesla’s future might still be salvageable. But only if Elon Musk stops trying to save America long enough to save his own company.
