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OMG: It’s Over For Elon

8m 40s

OMG: It’s Over For Elon

Elon Musk’s high-profile political spending during the 2026 midterms—funding largely to losing Republican candidates—has drawn sharp criticism and contributed to a sharp decline in investor confidence. Tesla’s Cybertruck, once promoted as a revolutionary vehicle with strong support from MAGA voters, has seen sales collapse to just 10% of projected targets, leading to the decision to halt production at the Texas plant by mid-2026. Despite initial enthusiasm and a record number of reservations, the vehicle failed to gain traction due to poor design, reliability issues, and lack of market demand. Musk’s public advocacy for "vote red" and subsequent deletion of related tweets further damaged his credibility, especially amid backlash from newly elected leaders like Texas Governor-elect Gina Hinojosa, who has called for a halt to Musk’s land acquisitions and data center projects. The combined fallout—economic, political, and reputational—has resulted in steep drops in Tesla and SpaceX stock prices, signaling a loss of market trust. The situation underscores a deeper pattern: Musk’s political alignment with Donald Trump has not translated into commercial success, and the failure of key products and strategic investments reflects a broader disconnect between political favoritism and sustainable business performance.

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1779 Words, 9747 Characters

English
The fallout for Donald Trump and the Republicans since losing the midterm elections has been major and significant, but it's not just impacting them. It's also impacting Trump's wealthy friends, his billionaire donors, even his best friend. And no, I'm not talking about Jeffrey Epstein. I'm talking about Elon Musk, whose Tesla company just made a major announcement that indicates things are not going to plan for them. Check this out. Elon Musk has killed off the Cybertruck after a very embarrassing sales flop after many, many years. Have you ever seen somebody driving one of these cars and been like, yeah, that guy is super cool. I want to drive that. No, you probably haven't because it's a piece of junk and nobody wanted it. Elon Musk like promoted it to the MAGA fans and even they haven't really bought into it. Check this out. Elon Musk has announced plans to wind down production of his Tesla Cybertruck at the company's plant in Austin, Texas. The announcement expected to take effect in the middle of next year. That being 2020. 27 comes with his companies on track to lose roughly $370 billion in value by the end of the week. Investors are fleeing partly over fears that Elon Musk could be about to lose the political benefits. His relationship with the second Trump term has afforded him after the hundreds of millions of dollars that he poured into Tuesday's midterms failed to save the Republican party from an electoral wipeout. Tesla unveiled the Cybertruck to tepid reception in 2023, but enjoyed a surge of interest from MAGA supporters. When Musk switched political allegiances the following year, those sales have since returned to their pre-surge levels. I remember that era. It was so weird. These Republicans like attacked electric cars for so many years. And then as soon as Elon Musk started giving money to Donald Trump, they all wanted Teslas. And now, of course, the sales have returned because even MAGA is like, oh, don't really want that. The company's billionaire CEO said in an ex-statement that the decision to wind down on manufacturing was to make room for the increased cyber cab production, but did not clarify whether the output would be. Picked up elsewhere or if he plans to discontinue the model altogether. My guess is that he's just kicking it out. I think he's going to remove the cyber truck altogether from their lineup because the sales have been so bad. This is the statement he put out saying Tesla will be winding down production of the cyber truck at a gigafactory in Texas around the middle of next year to make room for increased cyber cab production. And the reason I say that I think Elon Musk is just going to get rid of it altogether and he's just going to abandon the project is because of the series of events over the past couple of years that have really led to its downfall. I mean, it started off badly. It got worse and sales were bad. And now he's kind of throwing it in the can all the way back in 2023. Elon Musk was saying cyber trucks are not going to be profitable until 2025. It's going to take a while to deliver them. But he did say that apparently there were more than 1 million refundable reservations for the car, which was first unveiled in 2019. A lot of people never really got their cars to begin with. But fast forward to now, the cyber truck sales really stall. This is 2026. Tesla doesn't break down cyber truck deliveries. It lumps them into other models along with the Model S, Model X, and now the Semi. That bucket tells the story anyway. Tesla delivered 8,295 other models in Q3 of 2026, which is down 48% year over year and the lowest since Q2 of 2021. With Model S and Model X production over since April, we estimated that 7,000 to 8,000 of those were cyber trucks. That's a pace of about 30,000 trucks a year. Tesla planned the cyber truck line for 250,000 units annually, and its latest shareholder letter still lists more than 125,000 units of installed capacity. So the truck is selling at about 12% of the plan they had for the car. You know, it's just interesting that, you know, Elon Musk and the Republicans are surprised by this. It's almost like when you abandon your key customer base, that being, you know, people who are more environmentally conscious and want to drive a car. You know, you want to drive an electric car as opposed to a gas vehicle, that being mostly people who are Democrats. When you abandon that customer base, your company is going to suffer. And now it has. And now you're seeing that cyber trucks are only selling 10% of what they planned it to sell. That is disastrous for the company. And that's why they're losing so much in value. And of course, there was also stories like this. Tesla recalling more than 46,000 cyber trucks because the trim panel was falling off of many people's vehicles. It's like they just didn't have a good product. But don't get it twisted. Donald Trump did everything in his power to help his buddy Elon Musk sell this car. They even had a Tesla car show at the White House, which I kind of forgot about for a while there because there's so much insanity coming from this administration. I forgot that Donald Trump used the White House, his office, to help his buddy sell cars. But yes, it did happen. And this is what he said about the cyber truck at the time. I mean, look, in terms of imagination, I think I have a great imagination. But this guy would design this and everybody on the road is looking at it. It's amazing, actually. As soon as I saw it, I said, that is the coolest design. It's you agree with that, Brian? I mean, it's amazing. Very cool. Yeah, you got to give him credit. It's we want the future to look like the future. And it's kind of what kind of truck would Blade Runner drive? That was the design idea. It's really amazing. We want the future to look like the future, except nobody wants your crappy cars. And Elon Musk certainly tried to return the favor to Donald Trump. You know, all the different government contracts that he's given his companies, all the money that he's funneled to his companies. He tried to return the favor. Elon Musk told Bloomberg in May of 2025, I think I've done enough on political spending, then gave a record $474 million to the 2026 midterms. He said, are you going? The question was, are you going to continue to spend at that kind of level on future elections in terms of political spending? I'm going to do a lot less in the future. And why is that? I think I've done enough. Is it because of the money? If I see a reason to do political spending in the future, I will do it. But currently, I don't see a reason. And then less than a year later, he gave all of this money to all of Donald Trump's candidates. You know, once again, backtracking on that commitment, being like, hey, I'm not really thinking I want to do this anymore. But I do have some good news about this, all the political spending he did. Elon Musk dropped nearly half a billion dollars on the midterms. But check this out. 98% of the money that he spent on specific candidates went to losers. So he basically just put money in a fire pit and doused oil on it, gasoline on it and lit it on fire. That's what he did with this money. And look, it's not a significant part of his net worth because he is worth hundreds of billions of dollars. But any time that Elon Musk is wasting money, I'm happy with. It could have gone to cancer research or something useful, but instead he gave it to a bunch of losers. That's who he gave that money to. Really, really embarrassing. And it seems like Wall Street has noticed because his companies are tumbling really quickly. In the stock market, check this out as well. Tesla shares sank 11% on November 5th, following a 3.3% drop a day earlier for the year. Tesla shares are now down about 24%. SpaceX, Musk's rocket satellite and AI company tumbled 9% on November 5th, on the back of a 3.8% decline the day before. His companies are falling off. Now, also, Elon Musk, in the midst of all this, was caught deleting tweets. He was advocating for people to vote red. But. As it was caught on Twitter, he was deleting these tweets, somehow trying to distance himself from it. I mean, like, I don't know why he thinks a deleted tweet would make people forget what he did in this midterm election cycle, the money he spent, the candidates he advocated for. But he did delete the tweet saying, vote red today, which I thought was pretty interesting as well. And now Elon Musk has some even more trouble to deal with. The new Texas governor-elect, Gina Hinojosa, who is fantastic, the first Latina governor of Texas, she's wonderful, has requested a pause on selling the tweet. She's also requested a pause on selling state land to Elon Musk. This is so common sense. Like, Texas and many states around the country have this beautiful land that should not be touched. It should be protected. And people like Elon Musk shouldn't get to build their data centers on this land. I think that's, like, common sense. I think most Americans would agree with that. But I guess the Republicans in Texas were hoping to just basically allow him to do whatever he wants with this land. Not anymore, because we have blue Texas. We have blue Texas, which is great news. So, look, I will leave the video there. I just wanted to break down this story for you. Musk, man, what are you doing, buddy? What are you doing? He threw away everything just to help Donald Trump. Pathetic. Embarrassing. I will leave the video there. Thank you so much for watching. Please make sure to subscribe down below. Drop a like on the video. Comment. Let me know what you think about this story. Have an amazing rest of your day, and we will talk soon.

Podcast Summary

Key Points:

  1. Elon Musk has announced the winding down of Cybertruck production at Tesla’s Austin plant, effective mid-2026, due to poor sales and lack of consumer demand.
  2. The Cybertruck initially gained traction among MAGA supporters after Musk’s political ties with Donald Trump, but sales have since declined to just 10% of original production targets.
  3. Despite over 1 million reservations, Tesla has delivered only a fraction of the planned volume, with deliveries now lumped into other models and showing a significant year-over-year drop.
  4. Musk spent nearly $500 million on Republican candidates in the 2026 midterms, with 98% of the funds going to losing candidates, raising concerns about wasteful political spending.
  5. Tesla and SpaceX stock prices have plummeted—down 24% and 9% respectively—reflecting investor skepticism over Musk’s business strategy and political alignment.
  6. Musk faced backlash for promoting “vote red” tweets during the midterms and later deleted them, sparking accusations of political hypocrisy and disengagement.
  7. Texas Governor-elect Gina Hinojosa has called for a pause on Musk’s data center projects and sales of state land, citing concerns about land use and equity.
  8. The decline of the Cybertruck and Musk’s political spending highlight a broader crisis in trust, where once-promising innovations and political alliances have failed to deliver results.

Summary:

Elon Musk’s high-profile political spending during the 2026 midterms—funding largely to losing Republican candidates—has drawn sharp criticism and contributed to a sharp decline in investor confidence. Tesla’s Cybertruck, once promoted as a revolutionary vehicle with strong support from MAGA voters, has seen sales collapse to just 10% of projected targets, leading to the decision to halt production at the Texas plant by mid-2026. Despite initial enthusiasm and a record number of reservations, the vehicle failed to gain traction due to poor design, reliability issues, and lack of market demand.

Musk’s public advocacy for "vote red" and subsequent deletion of related tweets further damaged his credibility, especially amid backlash from newly elected leaders like Texas Governor-elect Gina Hinojosa, who has called for a halt to Musk’s land acquisitions and data center projects. The combined fallout—economic, political, and reputational—has resulted in steep drops in Tesla and SpaceX stock prices, signaling a loss of market trust. The situation underscores a deeper pattern: Musk’s political alignment with Donald Trump has not translated into commercial success, and the failure of key products and strategic investments reflects a broader disconnect between political favoritism and sustainable business performance.

FAQs

Tesla announced the wind-down of Cybertruck production due to poor sales and lack of consumer demand, despite initial hype and political support. The decision is expected to take effect in mid-2026.

The Cybertruck received tepid reception when first unveiled in 2023, with limited sales and criticism over its design and functionality. Interest surged among MAGA supporters initially but has since declined.

Musk's political alignment with Trump initially boosted Cybertruck sales among MAGA supporters, but after Trump's electoral loss, sales dropped back to pre-surge levels, indicating a lack of sustained consumer interest.

Yes, Elon Musk donated nearly $474 million to Trump's 2026 campaign, but 98% of that money went to losing candidates, suggesting little impact on election outcomes.

The Cybertruck is selling at only about 12% of its planned annual volume of 250,000 units, with deliveries now lumped into other models like the Model S and Model X.

Tesla's stock has dropped significantly due to declining Cybertruck sales, weak market performance, and investor concerns over the model's commercial viability and strategic direction.

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