Despite the easing of tensions between Elon Musk and President Donald Trump, the White House has initiated a review of SpaceX’s contracts with the Defense Department (DoD) and NASA. This move is seen as a possible prelude to retaliatory actions against Musk and his companies.
What Happened
The White House has directed the Defense Department and NASA to gather information on SpaceX’s contracts, potentially worth billions of dollars. This review is a direct result of the public spat between Trump and Musk, with the administration considering reducing SpaceX’s role in a new U.S. missile defense system.
Contracts Under Review
The White House has not yet indicated whether it plans to cancel any of SpaceX’s federal contracts, which currently amount to approximately $22 billion. President Trump stated, “We’ll take a look at everything,” when asked about the review.
Evaluation Process
The White House and NASA have both affirmed their dedication to conducting a thorough and rigorous evaluation of all bids and contracts. Sources familiar with the matter say the contract review is aimed at giving the administration the means to take swift action against Musk if needed, with the process being described as “political ammunition.”
Implications
The uncertainty around canceling existing contracts highlights concerns that political and personal conflicts may inappropriately influence government decisions, potentially impacting national security, public interest, and the use of public funds.
SpaceX’s Response
SpaceX did not immediately respond to requests for comment on the matter.
Why It Matters
The feud between Trump and Musk has been a subject of intense interest, with Musk using SpaceX’s capabilities to taunt Trump and even threatening to cease critical components of NASA’s astronaut transportation to the International Space Station. The White House’s review of SpaceX’s contracts adds a new layer of complexity to this ongoing saga, potentially impacting the future of the company and its projects.
Recent Developments
During the past week, the feud seems to have cooled, with Musk accepting that he “went too far” in his war of words with the President. On the other hand, Trump stated that he would not sell his Tesla and softened his stance on Elon Musk.
Projection for SpaceX’s Future
Meanwhile, ARK Invest has projected a multitrillion-dollar future for SpaceX, forecasting a $2.5 trillion enterprise value for the company by 2030. This projection suggests that, despite the current turmoil, SpaceX’s long-term prospects remain strong.
Conclusion
The review of SpaceX’s contracts by the White House has added a new layer of complexity to the ongoing saga between Trump and Musk. As the situation continues to unfold, it remains to be seen how the review will impact the future of SpaceX and its projects.