Democrats Target Musk After Midterms
With a new congressional majority, lawmakers plan to question the billionaire's government contracts and political spending in Texas.
By Sakura Novak ·
Elon Musk will face intense scrutiny from Democratic lawmakers following their midterm victories in the House and Senate. Although Musk was not a candidate in Tuesday's election, his companies stand to lose political protection. The new congressional majority intends to investigate how his businesses received billions in government contracts during the Trump administration.
The focus will be on the four months Musk led the Department of Government Efficiency. According to the Democracy Defenders Fund, his companies secured at least $6.3 billion in government contracts during that period. Since leaving that role, his firms have gained at least another $10 billion in federal business. Lawmakers want to know if Musk used his official position to benefit his private holdings.
Musk’s financial support for Republicans was extensive. Federal election filings analyzed by OpenSecrets show he donated more than $445 million to Republican candidates, PACs, and outside groups. This total makes him the top donor in the 2026 midterms. He directed at least $225 million of that money to Texas, where his companies are headquartered.
Texas proved to be a difficult environment for Musk’s political investments. He backed Republican Ken Paxton for U.S. Senate and Governor Greg Abbott for reelection. Both candidates lost. Democrats captured every statewide office in the state, a result that suggests Musk’s spending did not overcome the local voting trend.
James Talarico, who defeated Paxton, criticized Musk’s influence in the state. "Elon Musk wants our land. He wants our water. He wants our tax dollars. He wants his very own personal United States senator. He is trying to buy Texas," Talarico said at a campaign rally in Lubbock. In his victory speech on Tuesday, Talarico addressed the billionaire directly. "We just sent a message to every billionaire mega-donor.. Power belongs to the people," he said.
Democratic leaders also plan to examine Musk’s foreign policy actions. Rep. Mike Levin of California noted that Musk restricted Ukraine’s access to Starlink satellite internet days after Trump eased sanctions on Russia. Levin questioned how a private company could disrupt an ally’s military operations without accountability. Sen. Chris Coons of Delaware added that Musk’s ties to Russian President Vladimir Putin will be a topic for subpoenas.
Ethics experts warn of potential legal issues. Richard Painter, a former White House ethics lawyer, said Musk was a part-time special government employee while leading DOGE. Federal law prohibits such personnel from participating in matters that affect their personal financial interests. "If [Musk] touched anything that he knew would have an impact on SpaceX, he would've committed a crime," Painter said.
Musk reacted to the election results with a post on X. He wrote, "Guess my election-interfering space lasers didn't work this time." In the days following the election, stock prices for his companies fluctuated. Tesla shares dropped 3% while SpaceX shares fell nearly 4% on Wednesday, even as broader markets rose.
