If you’ve spent any time on X (formerly Twitter) lately, you’ve probably seen the photos. Elon Musk and Donald Trump are back to having "lovely dinners" at Mar-a-Lago. It's a far cry from where things were just six months ago when the world’s richest man and the President of the United States were basically in a full-blown public feud.
Honestly, the relationship has been a total roller coaster.
People keep asking: what is elon musk doing with trump? Are they friends? Are they business partners? Is Musk still running that "DOGE" thing? The reality is a mix of high-stakes diplomacy, massive government contracts, and a bit of a "frenemy" dynamic that changes based on who tweeted what that morning.
The DOGE Experiment: Where It Stands in 2026
Back in early 2025, it was all about the Department of Government Efficiency, or DOGE. Trump basically gave Musk a "chainsaw" and told him to go to town on the federal budget. Musk brought in guys like Vivek Ramaswamy and Steve Davis (from The Boring Company) and set up shop in the GSA headquarters.
They had a deadline: July 4, 2026.
But here’s the thing—Musk actually stepped back from his official role as a "Special Government Employee" in May 2025. Why? Well, legally, you can only work about 130 days a year in that specific role without triggering massive conflict-of-interest laws. Plus, the "Big Beautiful Bill"—Trump’s massive spending package—caused a huge rift. Musk called it a disaster for the national debt. Trump didn't take that well.
✨ Don't miss: Starting Pay for Target: What Most People Get Wrong
Despite the drama, the U.S. DOGE Service is still a thing. It’s mostly focused on tech modernization now, trying to fix the absolute mess that is government software. Even if Musk isn't there every day, his "disciples" are still embedded in agencies like the Office of Personnel Management and the Department of Energy.
Starlink as a Tool of Foreign Policy
Right now, in January 2026, the biggest thing what is elon musk doing with trump involves Iran.
Protests are erupting over there again, and the Iranian government has shut down the internet. It's a total digital blackout. Just a few days ago, Trump told reporters on Air Force One that he’s calling Elon to get Starlink over there.
"We may get the internet going if that’s possible. Elon is very good at that kind of thing." — Donald Trump, January 11, 2026.
This is where the relationship gets real. It’s not just about memes or campaign donations anymore. Musk’s SpaceX is effectively a branch of U.S. soft power. Whether it's helping protesters in Iran or providing free broadband in Venezuela after the capture of Nicolás Maduro, Musk is acting like a shadow Secretary of State.
🔗 Read more: Why the Old Spice Deodorant Advert Still Wins Over a Decade Later
The Friction: EVs and Tariffs
It's not all dinners and Starlink, though. There’s a lot of tension under the surface, specifically regarding Tesla.
Trump has been very vocal about wanting to end the "EV mandate" and pushing for more oil and gas. For a guy whose net worth is tied to electric cars, that’s a problem. Musk has had to play a very delicate game. He supports Trump’s deregulation—which helped kill off several investigations into Tesla’s "Full Self-Driving" tech—but he’s also fighting to make sure Tesla doesn't get crushed by the administration's new trade policies.
Investor Ross Gerber recently called the whole thing a "mess," arguing that Musk’s proximity to Trump is actually hurting Tesla’s brand with its core environmentalist customers.
But Musk seems to think the trade-off is worth it. By being "Team Trump," he gets:
- Less oversight from the Department of Labor.
- NASA continuing to rely almost exclusively on SpaceX.
- A direct line to the White House for AI policy.
The "New Bromance" and Defense Tech
If you want to know what is elon musk doing with trump lately, look at the Pentagon.
💡 You might also like: Palantir Alex Karp Stock Sale: Why the CEO is Actually Selling Now
Pete Hegseth, the Secretary of War, was just seen visiting SpaceX facilities. They’re talking about "Innovation Pipelines"—which is basically code for replacing old-school defense contractors with fast-moving tech companies. Musk is pushing for more long-range drones and hypersonic tech.
It's a shift from the early days of DOGE. Instead of just "cutting waste," Musk is now trying to rebuild the military-industrial complex in his own image.
Actionable Insights: What This Means for You
So, what should you actually take away from this saga?
- Watch the Contracts: If you’re an investor, don’t just look at Tesla. Watch how many government contracts SpaceX and Palantir (linked to Musk ally Peter Thiel) are racking up. The "efficiency" drive often means moving money from public agencies to private tech firms.
- The July 4th Deadline: Keep an eye on July 2026. This is when the DOGE mandate officially ends. We’ll see if the "savings" they claimed ($214 billion so far, though critics say that number is padded) actually show up in the federal deficit.
- Regulatory Shifts: If you work in tech or automotive, expect the rules for AI and autonomous driving to stay very loose. The Trump administration has effectively handed the keys to the industry leaders to "self-regulate."
The Musk-Trump alliance is less of a stable partnership and more of a series of tactical alignments. They need each other for now. Trump needs Musk’s tech and his massive megaphone on X; Musk needs Trump’s power to clear the regulatory "underbrush" that he hates so much.
As long as their interests align, the dinners at Mar-a-Lago will continue. But with two personalities this big, a "spectacular implosion" is always just one tweet away.
To keep track of the actual policy changes, check the Federal Procurement Data System (FPDS) for new SpaceX contract actions, as DOGE has been heavily auditing and modifying these records lately.