Musk faces congressional probes after midterm losses

Elon Musk faces a wave of congressional investigations following the Democratic victories in Tuesday's midterm elections. The billionaire, who controls Tesla and SpaceX, spent more than $200 million in Texas alone to support Republican candidates. Federal filings show he directed over $445 million to Republican candidates, political action committees, and outside groups. This total makes him the top donor in the 2026 midterms and one of the largest political contributors in American history.

Democratic lawmakers in the new Congress say their central focus is determining if Musk used his influence within the Trump administration to benefit his own companies. They intend to examine how taxpayer money, government data, and public institutions were handled during his tenure. A key area of scrutiny is the volume of government contracts awarded to his companies since President Trump returned to office.

According to the Democracy Defenders Fund, a legal advocacy nonprofit, Musk received at least $6.3 billion in government contracts during the four months he led the Department of Government Efficiency, or DOGE. Since leaving that role, his companies have gained at least another $10 billion in contracts. Rep. James Walkinshaw of Virginia stated on social media that Musk must answer for his actions under oath. He described Musk as someone who fired public servants and gutted services while lying about the savings.

Musk's foreign dealings are also drawing attention. Sen. Chris Coons of Delaware said he will subpoena Musk to ask about his links to Russian President Vladimir Putin. Rep. Mike Levin of California pointed out that Musk restricted Ukraine's use of Starlink satellite internet days after Trump eased sanctions on Russia. Levin noted that Starlink and Starshield are vital for Ukraine's civilian infrastructure and drone operations in its war against Russia.

Richard Painter, former chief White House ethics lawyer in the George W. Bush administration, noted that Musk was a part-time special government employee while leading DOGE. This status subjected him to federal laws prohibiting executive branch personnel from participating in matters affecting their personal financial interests. Painter said that if Musk touched anything he knew would impact SpaceX, he could have committed a crime, as SpaceX receives substantial funding from NASA and the Department of Defense.

Texas has become the nerve center of Musk's business empire. Tesla's headquarters and a major manufacturing facility are located in Austin. X, formerly Twitter, is based outside of Austin, while SpaceX is located in southern Texas. Neuralink and The Boring Company are also headquartered in the state. Musk directed at least $225 million of his midterm spending to Texas, including funds for the campaigns of Ken Paxton and Gov. Greg Abbott.

Both Paxton and Abbott lost their races, indicating that Musk's financial backing did not overcome a wave of enthusiasm that saw Democrats capture every statewide office in Texas. James Talarico, who defeated Paxton in the Senate race, said at a rally in Lubbock that Musk is trying to buy Texas. Talarico addressed Musk directly in his victory speech on Tuesday. He said the real fight in the country is not right versus left, but top versus bottom.

Musk posted on X on Nov. 1, two days before the election, that Talarico would vote to trans kids. As results came in on Tuesday night, Musk wrote on the platform that his election-interfering space lasers did not work this time. He followed the text with a shrug emoji. The company shares reacted to the election results on Wednesday. SpaceX shares fell nearly 4%, and Tesla dropped 3% as markets rose following the Democratic wins.