US President Donald Trump and tech billionaire Elon Musk's relationship unravelled overnight India time as they traded personal insults and explosive allegations on their respective social media platforms, Truth Social and X, as the virtual world lapped up the spectacle.
The clash erupted over Trump’s signature “One Big, Beautiful Bill” tax and spending legislation.
That the US President and his favourite "genius” have fallen out is not news, per se, but things escalated to a whole new level when Musk posted: “Time to drop the really big bomb: @realDonaldTrump is in the Epstein files. That is the real reason they have not been made public. Have a nice day, DJT!”
Musk provided no evidence for his claim, and his own past association with the late sex offender Jeffrey Epstein’s former girlfriend, Ghislaine Maxwell, was highlighted by many.
White House press secretary Karoline Leavitt called Musk’s claim an “unfortunate episode” driven by his dissatisfaction with the bill. The Trump camp noted that the President had banned Epstein from Mar-a-Lago and pointed to previously released Epstein flight logs mentioning Trump.
Trump himself hit back on social media, accusing Musk of “going CRAZY” and claiming he had asked the tech billionaire to leave his advisory role, a statement Musk dismissed as a “lie.”
Trump also threatened to terminate government contracts with Musk’s companies, including SpaceX, which relies heavily on federal funding for its role in US space operations. Musk announced that SpaceX would begin decommissioning its Dragon spacecraft, critical for Nasa’s International Space Station missions.
Social media was on fire thanks to the spat. One comedian posted: "Trump says Musk is corrupt, Musk says Trump is a paedophile. Suddenly I agree with both of them!”
The clash began during a Thursday press conference in the Oval Office, where Trump, alongside German Chancellor Friedrich Merz, expressed deep disappointment in Musk.
“I’m very disappointed in Elon. I’ve helped Elon a lot,” Trump said, suggesting the Tesla chief’s opposition stemmed from the bill’s elimination of electric vehicle (EV) tax credits.
“Elon knew the inner workings of this bill better than almost anybody sitting here. All of a sudden, he had a problem when he found out we’re going to cut the EV mandate.”
Musk, who stepped down from his role as a special government employee leading the Department of Government Efficiency (DOGE) on May 30, fired back in real-time on X. Denying that his criticism was solely about EV incentives, Musk accused Trump of “ingratitude,” claiming, “Without me, Trump would have lost the election, Dems would control the House, and the Republicans would be 51-49 in the Senate.”
Musk, who spent over $270 million supporting Trump’s 2024 campaign, also reposted a call for Trump’s impeachment, suggesting Vice President J.D. Vance as a replacement.
The fallout has not only shaken Washington but also sent shockwaves through financial markets, with Tesla’s stock plunging 14.3 percent on Thursday, wiping $150 billion off its market capitalisation.
Trump’s bill passed the US House of Representatives last month by a single vote and now faces an uncertain fate in the US Senate. The legislation, which Trump touts as a cornerstone of his second-term agenda, includes multi-trillion-dollar tax cuts, increased defence spending, and a $4 trillion debt ceiling increase.
However, the nonpartisan Congressional Budget Office estimates it will add $2.4 trillion to the national debt over the next decade, a point Musk has seized upon in his criticism. Calling the bill a “disgusting abomination,” Musk has posted over two dozen times on X, urging his 220 million followers to pressure lawmakers to “kill” the bill.
Musk’s 130-day tenure at DOGE, where he aimed to cut $1-2 trillion in federal spending, was marked by controversy, including mass firings and the dismantling of agencies like USAID. While DOGE claims $175-180 billion in savings, these figures are disputed, and Musk’s aggressive tactics alienated some Trump allies.
His exit, planned for late May, was accelerated by his public criticism of the tax bill and frustrations over issues like a rival AI deal with OpenAI and the withdrawal of his preferred Nasa administrator candidate, Jared Isaacman.
