Elon Musk exerts deepening influence on Donald Trump’s presidential transition

Since Donald Trump’s victory in the 2024 election, his Mar-a-Lago resort has become a hub for people seeking positions in his incoming administration. Among those making their presence felt, one individual stands out for the growing level of influence he’s exerting: tech billionaire Elon Musk.

Musk, who is known for his leadership roles at SpaceX and Tesla, has been a fixture at Mar-a-Lago, frequently meeting with Trump and discussing key issues. Sources report that Musk has been at the resort nearly every day since the election, dining with Trump on the patio and even spending time with his family, including Sunday outings at the golf course. His influence extends beyond casual meetings; Musk has been a direct participant in high-stakes conversations with world leaders and decision-making on personnel choices for Trump’s administration.

In one notable instance, Musk was present when Ukrainian President Volodymyr Zelensky called Trump to congratulate him on his victory. During the call, Trump put Zelensky on speakerphone, and the Ukrainian leader took a moment to thank Musk for his pivotal role in providing satellite internet access to Ukraine through SpaceX’s Starlink service. Musk’s presence during such significant moments highlights the trust and influence he holds with the president-elect.

Musk’s influence is not limited to foreign affairs. On the domestic front, he’s wading into contentious GOP battles, including the ongoing Senate leadership fight. Musk publicly endorsed Senator Rick Scott of Florida after Scott backed Trump’s call for Senate leadership contenders to support using recess appointments—a strategy that would allow Trump to bypass Congressional gridlock and ensure his nominees are confirmed more quickly.

While Musk is closely aligned with Trump, he also maintains a close relationship with Howard Lutnick, a co-chair of Trump’s transition team. Lutnick, a billionaire CEO of financial services firm Cantor Fitzgerald, is overseeing the personnel decisions for the transition. Together, Musk and Lutnick form a powerful duo, influencing key decisions about who will be appointed to top positions in the new administration.

Despite his proximity to the inner workings of the transition, Musk is not expected to take on a formal role in the administration. He has publicly dismissed the idea of a full-time government position, particularly given the potential conflicts of interest such a role could present with his significant business holdings. Instead, sources suggest that Musk may be appointed to a special advisory committee, which would allow him to have significant influence while avoiding the ethical constraints of a government role. This would also allow him to maintain control over his various ventures without the need to divest or place his assets in a blind trust, which would be required for full government officials.

While Musk is not officially a part of Trump’s transition team, his influence is undeniable. As of mid-October 2024, Musk had donated nearly $119 million to a political action committee supporting Trump, according to Federal Election Commission filings. His public endorsement of Trump and the two men’s visible interactions at rallies and interviews on Musk’s social media platform, X, underscore the strength of their partnership.

Musk’s investment in Trump’s success has already paid off handsomely. In the immediate aftermath of Trump’s victory, shares of Tesla surged nearly 15%, adding more than $15 billion to the value of Musk’s holdings. With 411 million shares of Tesla, this increase in stock price marked a two-year high for the company and further cemented Musk’s status as a major player in the intersection of politics and business.

Musk’s role in the Trump transition is a prime example of how powerful individuals can exert influence on the political landscape from outside traditional government positions. Though he may not seek a formal post, his behind-the-scenes involvement is shaping the early days of the Trump administration, ensuring that his preferences and business interests are closely aligned with the president-elect’s decisions. As the transition continues to unfold, Musk’s influence is likely to remain a key factor in determining the direction of the new administration, especially on issues related to technology, innovation, and government efficiency.