🧨 Trump Threatens to Unleash “DOGE Monster” on Musk’s Empire
In a dramatic escalation today, July 1, 2025, former President Donald Trump threatened to deploy the results of the Department of Government Efficiency (DOGE)—a government austerity initiative once led by Elon Musk—to reign in Musk’s sprawling business empire. Trump signaled he may launch a formal probe into the $20 billion in federal subsidies and contracts funneled to Musk’s companies, portraying the move as “unleashing a monster” that could “go back and eat Elon.”
⚔️ Deepening Feud Between Former Allies
Once close collaborators—Musk even helmed the DOGE initiative—Trump and Musk have turned bitter rivals. The rift widened sharply after Musk publicly denounced Trump’s “Big, Beautiful Bill,” warning it would trigger “the biggest debt increase in history.” Musk doubled down on political opposition, threatening to support primary challengers and even float the creation of an “America Party.”
Trump struck back early Tuesday on Truth Social and at a White House press briefing:
- “Elon may get more subsidy than any human being in history… without subsidies, he’d likely have to close up shop and head back to South Africa.”
- “We might have to put DOGE on Elon… DOGE is the monster that might have to go back and eat Elon.”
📉 Political & Market Ripple Effects
- Markets reacted swiftly: Tesla shares dropped ~5–6% in pre-market trading following Trump’s remarks.
- Contract scrutiny looms: The threat of cancelling Musk’s federal contracts—with SpaceX alone accounting for billions in NASA and Pentagon deals—adds uncertainty for investors and contractors.
- Political escalation: Trump even hinted at considering Musk’s deportation, though Musk is a naturalized U.S. citizen—leaving the comment to skepticism or grandstanding .
🏛️ The Mechanics of “Putting DOGE on Elon”
The Department of Government Efficiency, initially championed by Musk, was designed to slash federal waste—reportedly saving approximately $160 billion via sweeping agency cuts and layoffs. Now Trump suggests redirecting those auditing powers onto Musk’s companies, targeting subsidies such as:
- $2.8 billion in Tesla incentives
- Billions in SpaceX governmental contracts
- Countless regulatory credits and EV tax breaks.
📅 Timeline of Today’s Events
| Time (July 1) | Event |
|---|---|
| Early AM | Musk attacks Trump’s spending bill; threatens primary campaigns. |
| Shortly after | Trump fires back: “DOGE should take a hard look at Elon.” |
| Press briefing | Trump warns DOGE may become “monster” to “eat Elon”; hints at deportation. |
| Market open | Tesla stock plunges 5–6% on new uncertainty. |
🤔 What Happens Next
- Audits ahead? DOGE—or a successor under Trump’s direction—could initiate formal investigations into Musk’s subsidy and contract history.
- Contract cancellations: Trump could use executive power to terminate funding agreements, especially in SpaceX and national security sectors.
- Political consequences: Musk’s renewed threats to actively challenge pro–bill Republicans heighten stakes. The feud could endure well into 2025.
- Public legal battles: Musk may file lawsuits over audits or contract revocations, citing prior conflicts of interest and the chaotic launch of DOGE time.com+7wral.com+7washingtonpost.com+7time.com+12businessinsider.com+12tampafp.com+12newsweek.com+9reddit.com+9axios.com+9time.com+1wral.com+1.
📌 Why It Matters
- Federal spending and tech power: This conflict shines a spotlight on how intertwined Silicon Valley and federal funding have become.
- Economic risk: Uncertainty over contracts could disrupt ongoing SpaceX and Tesla projects, affecting stock markets and global supply chains.
- Political theatre: The feud exemplifies transactional politics—Trump once empowered Musk, now weaponizes DOGE against him.
🚨 Bottom Line
Trump’s vivid threat to deploy DOGE as a “monster” to audit—and potentially dismantle—Musk’s financial lifelines reflects how volatile their relationship has grown. With millions in Elon’s subsidies and contracts on the line, the drama has shifted from White House advisory roles to hostile government scrutiny and political warfare. As DOGE’s revival looms, both Musk’s empire and Trump’s political strategy face high-stakes scrutiny—at a cost to markets, governance, and the future of public-private dynamics.