Elon Musk Steps Down from DOGE Leadership, Marking End of Tumultuous Tenure

Washington, D.C. – May 29, 2025 — Elon Musk, the billionaire CEO of Tesla and SpaceX, has officially stepped down as head of the Department of Government Efficiency (DOGE), concluding a high-profile and controversial chapter in the Trump administration’s campaign to slash federal spending.

Musk’s exit comes as his term as a “special government employee” reaches its legal limit of 130 days, a designation that allowed him to temporarily lead the White House’s cost-cutting task force. In a statement posted to X, Musk expressed gratitude to President Donald Trump for the opportunity, saying, “As my scheduled time as a Special Government Employee comes to an end, I would like to thank President [Trump] for the opportunity to reduce wasteful spending. The @DOGE mission will only strengthen over time as it becomes a way of life throughout the government”.

A Disruptive, Controversial Tenure

Launched on January 20, 2025, DOGE was tasked with streamlining federal operations and cutting costs, with Musk initially pledging to reduce the federal budget by $2 trillion—a figure later revised to $150 billion amid mounting skepticism and logistical challenges. During his four months at the helm, Musk’s aggressive tactics led to widespread disruption across federal agencies, including mass layoffs and the termination of billions in government contracts.

Despite DOGE’s claims of $160–$175 billion in savings, independent analysts and watchdogs have questioned the accuracy of these figures, pointing to errors in reported cuts and concerns about lost productivity and rehiring costs. Lawsuits and privacy concerns also dogged the initiative, further complicating Musk’s tenure.

Clashes and Criticism

Musk’s time in Washington was marked by frequent clashes with federal agencies and, in recent weeks, with President Trump himself. The rift became public after Musk criticized the administration’s flagship “big, beautiful” budget bill, arguing that it would increase the federal deficit and undermine DOGE’s mission. “I was disappointed to see the massive spending bill, frankly, which increases the budget deficit, not just decreases it, and undermines the work that the DOGE team is doing,” Musk said in a recent interview.

Fallout and Future Plans

Musk’s departure coincides with a sharp 71% drop in Tesla’s profits, which analysts partly attribute to his political entanglements and shifting public sentiment. On a recent earnings call, Musk signaled he would significantly reduce his time spent on government affairs and refocus on his companies, though he will remain an advisor to President Trump for the rest of the term. “I’ll have to continue doing it for, I think, the remainder of the president’s term just to make sure the waste and fraud that we stopped does not come roaring back,” Musk said, adding that his involvement would be limited to one or two days per week.

What’s Next for DOGE?

The White House has not named an immediate successor, and several DOGE staff members are also departing alongside Musk. The department is expected to continue operating under an executive order through 2026, but its future direction remains uncertain. Some officials have suggested that DOGE’s mission of government efficiency will persist as a guiding principle, while others warn of potential shifts toward more data-driven, politically motivated initiatives.

A senior administration official confirmed Musk left on good terms and remains a close advisor to Trump, stating, “This isn’t a separation, but just a return to the private sector for Musk. He will continue to be a friend to the president, and we can characterize that as an ‘adviser’”.

Musk’s brief but eventful stint in government leaves a mixed legacy, with supporters praising his disruptive approach and critics questioning the sustainability and accuracy of his reforms. As DOGE’s future hangs in the balance, the impact of Musk’s tenure—and the political fallout—will likely reverberate through Washington for months to come.