Elon Musk says he's 'done enough' political spending. What does that really mean?

After Tesla CEO Elon Musk played a crucial role in Donald Trump's return to presidential power, the self-proclaimed avatar of "dark, gothic MAGA" announced this week he will "do a lot less" political spending in the future. After giving hundreds of millions of dollars to conservative campaigns, closing his wallet signifies a potentially seismic shift in how Republicans and Democrats alike fundraise.

What did the commentators say?

Musk's claim that he'll step back from political spending is "rippling across the nation's political landscape," said Politico, but that's "if he means it." While Democrats fret that Musk's departure could leave them without "their foil," Republicans who have grown accustomed to Musk's active role worry that they "might be losing their whale." The announcement is Musk's "most explicit" yet regarding his future political finance plans, said The New York Times, even though it "remains unclear" whether he will "ultimately cut off all or most of his political donations." Musk may also simply choose to direct his political giving through nonprofit groups, which keep donor lists private, a "tactic that he used before the 2024 election."

For many political observers, Musk's decision can be traced in no small part back to his unsuccessful $20 million attempt to elect conservative Brad Schimel to the Wisconsin Supreme Court this spring. Schimel's loss left Musk "humiliated," said The New Republic, even if he "pretended he didn't even care about the results." After his Wisconsin defeat, he "deserves to be labeled as toxic," said longtime Wisconsin Republican operative Brandon Scholz to The Associated Press. "He became the campaign. He became the story."

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The announcement may disappoint congressional Republicans who were "likely counting on Musk's largesse" to help them "maintain control" of the legislative branch in next year's midterms, Bloomberg said. But Musk's proclamation "does not mean we've seen the last of his influence in government," said conservative commentator Charlie Sykes at MSNBC. As the wealthiest man on Earth who enjoys an enduring relationship with Trump, the "most powerful man" in the world, Musk can "still do a lot more damage" regardless of his direct political spending plans.

What next?

Musk's plans to cut back "isn't a big surprise for investors" who sent Tesla stock skyward after the announcement, said Barron's. Following his April assertion that he'd be stepping back from his political work in the Trump White House, "anything that indicates Musk is focused on his car company is generally good for the stock." For Musk, the "plan thus far" seems to be to "get back to business," said Foreign Policy. Given how much his various companies are "still hurting and facing more uncertainty from his relationship with Trump," the question for Musk is how he "turns it around and how much more his personal wealth" takes a hit.

However, Musk hasn't counted out changing his mind. When asked whether his decision was based on "blowback" from his political activism, Musk "dodged the question" and instead "left the door open for future outlays on elections," The New York Times said. "If I see a reason to do political spending in the future, I will do it," Musk said. "But I don't currently see a reason."