Donald Trump’s “new star” Elon Musk will shine brighter

“Let this sink in,” he wrote.

It was amateurish, but Musk’s contribution to Trump’s victory was serious and will benefit the richest man in the world.

Trump acknowledged Musk in his victory speech Wednesday, even if it took prompting from the audience, and indicated that Musk would be treated well under his administration.

“We have to protect our geniuses, we don’t have many of them,” Trump said.

Musk, who is worth $264 billion (€245 billion), can easily afford the more than $100 million he donated to a fellow billionaire’s campaign through his Super Pac.

Tesla shares are rising

On Wednesday, there were immediate signs of a return on those investments. Shares of Tesla, the electric vehicle maker of which he is CEO and in which he has a 13% stake, rose nearly 15% in Wall Street trading, representing a $15 billion wealth gain.

There could be more. Dan Ives, an analyst at US financial services firm Wedbush Securities, said a Trump victory could boost Tesla’s value to $200 billion, adding about $26 billion to Musk’s wealth overall, including Wednesday’s increase.

“The biggest benefit from a Trump victory would be for Tesla and Musk,” Ives wrote in a note to investors, citing likely benefits such as the possibility of Trump imposing tariffs or import taxes on electric vehicles made in China.

Musk also owns SpaceX, a rocket company with many US government contracts. Last month alone, it secured more than $700 million in contracts with the U.S. Space Force. SpaceX and Tesla have received at least $15.4 billion in government contracts over the past decade, a recent New York Times analysis shows.

Given that Musk received contracts from the Space Force during the Joe Biden administration, the flow of federal deals is not expected to slow down under Trump.

George Washington University law professor and government regulation expert Richard Pierce said he is “confident” Musk’s business will benefit from more contracts.

Soft power

Trump’s victory also underscored the soft power of Musk’s ownership of social media platform X, even if it seems unlikely that he will directly recoup the wildly inflated $44 billion he spent on it in 2022, when it was better known as Twitter. The photo of the sink was taken when Musk entered the Twitter office with the aforementioned sink).

Under Musk’s leadership, Company X has undergone a shift to the right and played a major role in Trump’s re-election campaign. Musk has reinstated provocative right-wing figures such as conspiracy theorist Alex Jones.

Musk’s control of the network has allowed him to amplify his own pro-Trump messages on the platform. It is the largest account with over 200 million followers.

He was very active during the campaign, sometimes posting over 100 times a day with very high engagement—one “pass” post alone was viewed 50 million times. X was a key player in the media ecosystem that supported Trump, including podcasters like Joe Rogan.

The former head of Twitter’s European operations, Bruce Daisley, said that throughout Musk X’s tenure, the billionaire refused to compromise for short-term financial gain.

“By introducing a more aggressive algorithm, he has clearly changed the space used by commentators, journalists and political figures into one that favors right-wing voices, including his own. It has had an impact on what people consume,” Daisley said.

Government work

Musk will likely also play a role in the Trump administration. In September, Trump said he would form a commission on government efficiency, to be headed by Musk. A full-time government job would require Musk to trust his companies, but a part-time government job would not require such actions.

“Theoretically, Musk cannot work full-time in government without trusting his companies,” said Boston College Law School professor Brian Quinn.

“However, he can participate as a part-time member of the presidential commission, etc., without doing so.”

Musk has already signaled that the government’s efficiency watchdog will help SpaceX, saying on X that his business could reach Mars sooner “if it doesn’t get stifled by bureaucracy.”

“The Department of Government Efficiency is the only path to extending life beyond Earth,” he added in a post on X.

US federal regulations could be a problem for Musk. For example, he made clear his frustration with the Federal Aviation Administration, warning in September after another clash with it that the company would “sue the FAA for regulatory abuse.”

George Washington University’s Pierce said Musk can expect easier treatment from federal regulators and prosecutors.

“All federal regulators and prosecutors work for the president,” he said. “He can order them to do or not do something, with the understanding that he will fire them if they do not comply.”

Musk’s other companies include artificial intelligence startup xAI, which is reportedly valued at $40 billion, and brain implant company Neuralink, which is reportedly valued at $8 billion.

Musk is already a figure of global fame and power, but Trump emphasized that on Wednesday.

“We have a new star, a star is born: Elon.”

This star is likely to become brighter and more powerful under the Trump administration.