In a dramatic turn of events, President Donald Trump has officially severed ties with Tesla, marking a sharp escalation in his ongoing feud with Elon Musk. Two senior officials confirmed on Friday that Trump is getting rid of the red Tesla Model S he acquired just this March — a symbolic gesture that now seems completely reversed.

What once looked like a promising tech-political alliance has quickly spiraled into open conflict, involving personal insults, business threats, and potentially billions in losses for both sides. According to sources at the White House, Trump has no intention of reaching out to Musk, and Musk himself isn’t rushing to fix the situation — despite a few mixed signals.

Behind the scenes, Musk appears to be de-escalating, walking back Thursday’s threat to halt SpaceX's Dragon missions — a cornerstone of NASA’s operations. These missions are vital, ferrying astronauts and supplies to the International Space Station (ISS). The move was seen by some as a gesture to calm tensions.

Adding to the drama, hedge fund titan Bill Ackman stepped in, urging both figures to resolve their differences “for the good of the country.” Musk responded diplomatically: “You’re not wrong.”

🚨 High Stakes for Both Musk and Trump

For Elon Musk, this feud goes beyond politics — it's about business. His companies, including SpaceX and Tesla, have secured billions in U.S. government contracts, with more in the pipeline. Should Trump act on his threats to disrupt those deals, Musk’s enterprises could suffer major financial setbacks.

But the risk isn’t one-sided.

Trump also stands to lose — big. Musk has reportedly contributed around $275 million toward Trump’s 2024 campaign efforts, with a promised $100 million earmarked for the 2026 midterms. Given the current hostility, that funding now seems unlikely to materialize.

🔥 Tesla Dumped, NASA Missions at Risk, Alliance Broken

This public falling-out between two of the most powerful figures in America is now playing out on the national stage. The president has dumped his Tesla. The billionaire is stepping back from threats against NASA. And a high-profile partnership that once blended technology, politics, and influence is rapidly unraveling.

With financial markets watching closely, and the future of federal contracts and political funding in question, the impact of this feud could extend far beyond personal egos — affecting stocks, crypto sentiment, and even space exploration.