Elon Musk, a visionary businessman, faces issues as his companies – Tesla, SpaceX, and X are going through serious challenges. However, his involvement with the Trump administration raises questions about how he oversees his business. Read this article to know more about what happened with Tesla, X, and SpaceX and how the Trump administration is involved.
Cyber Attack On X: What And How?
Elon Musk’s X got stuck in a cyber attack on the 10th March 2025, to which Musk said that the cyberattack originated under the IP address of Ukraine. However, there was no concrete evidence of Ukraine’s involvement in the attack. According to DownDetector, the trouble started around 6 a.m. when up to 20,538 users reported bugs and, by 10 a.m., the outage reports were increased to 40,000. The reports began decreasing around 2 p.m. and gradually trailed off throughout the afternoon. Later, Musk posted on X that “a large, coordinated group and/or a country is involved,”. However, no further details or motive behind the service disruption were confirmed.
Tesla Stock Plummets – What Happened?
Tesla’s biggest drop since 2020 was marked on the 10th of March, 2025, as the shares fell 15.4% on Monday, marking their biggest single-day drop after September 2020. The stock has fallen to 41.4%, falling over 50% from its highest value ($479) in December 2024.
The main reason for the drop is uncertainty in President Trump’s tariff policies, which have broadened market concerns. Also, Tesla’s Model 3 and Model Y demands have dropped, so UBS has cut its stock price target to $225 from $259.
Moreover, Germany’s sales fell 76% last month, showing the European EV market disturbances. This is mainly because of a political backlash as a protest against Musk, which is linked to Trump and includes its dealership attacks in Oregon, Boston, and New York.
SpaceX Explosion
Another venture of Musk faced a setback as a SpaceX starship spacecraft exploded on March 6, 2025. The explosion has happened during its launch in Florida. The official statement said that they lost communication with the spacecraft after its takeoff, and minutes later it exploded.
This added another disappointing moment in Musk’s life. These back-to-back hits to all of Musk’s business ventures draw attention as they occurred only after Musk accepted Trump’s offer to lead the Department of Government Efficiency.
Why Musk’s Businesses Are Facing Setbacks?
As Musk engaged in government affairs at Trump’s request, it seems like a two-way street for him to handle. Under Trump’s administration, Musk has taken a government advisory role, which is now starting to affect his business. Musk spends most of his time in Washington, advising him through the Department of Government Efficiency on cost-cutting measures. His ascending involvement in government affairs has raised concerns that he is neglecting his business ventures. However, Trump has limited Musk’s role in an advisory position as he can only advise the department and can not take direct actions, which means he doesn’t have any direct authority.
Final Thoughts
As Musk is getting involved more in the Trump administration, his ignorance has startled the global market and employees working for him. His supporters argued that his involvement is for the betterment of the administration and could drive change for businesses. On the other hand, critics said that his focus on government affairs was a setback to his business. However, Musk has assured that everything will be fine in the long term; he just has to set a balance between his politics and business.
