How Elon Musk's worst business decision led him to Trump

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Musk's controversial (and expensive)– purchase of then-Twitter, now X, in 2022 set in motion his ascent in Trumpworld that propelled him to a role in which he has the next president's ear.

Musk, chief executive of Tesla and SpaceX, owner of X and CEO of other ventures, including Neuralink, xAI and the Boring Company, is already a busy guy.

But here's the thing: Musk's recent distractions may not ultimately matter for his businesses. And there's actually a strong case to be made that they're paying off for investors. "The benefits of Musk's involvement in Trump's government outweigh the negatives," said Dan Ives, an analyst at Wedbush Securities.

Musk, Tesla's largest individual shareholder, has personally reaped the rewards of the stock's surge. He's $US55 billion richer today than he was on Election Day, according to X, by contrast, has clearly struggled under Musk – it has lost 80 per cent of its value, according to Fidelity, as advertisers flee the social network that has become a free-for-all for hate speech and conspiracy theories.

 

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