According to Foresight News and the Wall Street Journal, sources say that just days after Trump suggested the possibility of severing business ties with Musk's company in early June, the government began reviewing SpaceX's contracts with the federal government. However, officials believe that most contracts cannot be canceled because they are vital to the Department of Defense and NASA. After Musk escalated personal attacks on June 5, Trump claimed that the simplest way to save federal funds was to 'terminate' Musk's business contracts. Days later, a senior official from the U.S. General Services Administration requested that the Department of Defense, NASA, and other federal agencies fill out an electronic form listing all current contracts and other agreements they have with SpaceX. After reviewing this data, officials from the White House and agencies including the Pentagon determined that most contracts are essential to the Department of Defense and NASA.
Insiders say that some of SpaceX's contracts may continue to be under review.