09:32
Elon Musk's Neuralink receives Canadian approval for brain chip trial
Neuralink to trial brain implant in Canada, aiming to help paralysed patients control devices through thought.
Musk's ties to Trump will reverberate through Tesla, other interests
Reuters
Billionaire Elon Musk stands to gain significantly from his relationship with U.S. President-elect Donald Trump, having been one of Trump’s key supporters during the 2024 campaign.
After Trump’s victory over Vice President Kamala Harris, Tesla shares soared nearly 15%, adding around $120 billion to the company’s market value. Musk contributed millions to Trump’s campaign, and Trump has proposed a government efficiency commission led by Musk to reduce federal spending.
Musk's influence is expected to grow further, given his substantial role as a U.S. Department of Defense contractor through his Starlink broadband system and as Tesla's CEO.
Musk has benefited from policies that Trump opposed, such as the solar and electric vehicle (EV) credits in the 2022 Inflation Reduction Act. Trump’s push to reduce EV mandates could potentially benefit Tesla more than its competitors due to the company’s high sales volume.
A group representing the EV industry expressed its willingness to collaborate with Trump, who has pledged to reverse many of the pro-EV policies of the Biden administration.
'HEDGED HIS BETS'
“Musk basically hedged his bets by his association with Trump and likely will get favorable treatment from the Trump administration,” said Dennis Dick, trader at Triple D Trading.
Regulatory approval for Full Self Driving will be a challenge for Tesla, but Musk is likely to secure approvals faster with Trump’s support. Shares of EV companies Lucid Group (LCID.O) and Rivian Automotive (RIVN.O) dropped 5.3% and 8.3%, respectively. Trump's promised tariffs on Chinese imports, especially on EVs, could shield Tesla from competition, analysts said. Shares of China's BYD (002594.SZ) fell 2.3% overnight.
It’s unclear how Musk will address conflicts of interest in sectors like auto, space, health, and AI, or whether he’ll leverage them under a Trump administration’s hands-off regulatory approach.
A role overseeing deregulation would give Musk influence over U.S. policy on AI, space exploration, and EVs, said Mamta Valechha, consumer analyst at Quilter Cheviot.
Musk may use his influence to reduce regulatory oversight. He’s criticized federal reviews of SpaceX and wants faster approval of his autonomous driving technology.
Musk is also a proponent of carbon-free energy, as Tesla is a major supplier of solar systems and batteries. Trump has promised to eliminate the offshore wind industry and rescind unspent funds under the Inflation Reduction Act, Biden’s climate law. However, Republican-led states have benefited from the law; Musk is building his second U.S. EV factory in Texas.
08:00
Trump and Musk Watch SpaceX Launch Starship, Booster Fails to Land
SpaceX launched its Starship rocket from Texas on Tuesday, watched by U.S. President Donald Trump. While the mission reached space, the booster failed to land as planned, splashing down in the Gulf of Mexico and exploding. The rest of the mission was successful.
12:43
Musk’s political rise sparks of debt recovery hopes for X
Wall Street banks are hopeful they can soon sell off $13 billion of debt tied to Elon Musk's social media platform X. They now believe that Musk's close relationship with President-Elect Donald Trump could improve X's prospects, allowing them to sell the debt without large losses.
15:42
Trump names Elon Musk to lead government efficiency drive
U.S. President-elect Donald Trump has appointed Elon Musk and Vivek Ramaswamy to lead a new Department of Government Efficiency. Tasked with cutting bureaucracy and regulations, the informal roles aim to restructure federal agencies, potentially boosting Musk's influence and business interests.
14:32
Musk's X Reportedly Struggling to Contain Election Misinformation
A new report from the Center for Countering Digital Hate reveals that X's Community Notes feature is ineffective in combating misinformation about the U.S. election, with 74% of misleading posts lacking visible corrections, totalling 2.2 billion views.
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