Why Elon Musk plans to donate $100 million to Trump-linked political groups?

The exact distribution of Musk’s intended donation remains unclear

Elon Musk has indicated plans to donate $100 million to political groups associated with US President Donald Trump, according to sources familiar with the discussions, as report by The New York Times.

The move, which underscores Musk’s deepening involvement in Trump’s political orbit, would be an unprecedented contribution from someone directly employed within a federal administration. Musk, who leads the Department of Government Efficiency (DOGE), has been central to Trump's aggressive efforts to downsize the federal government.

Over the weekend, Musk travelled with President Trump aboard Air Force One to Florida and later posted on his social media platform, X, about dining with US Secretary of State Marco Rubio following earlier tensions.

In an unusual public promotion, Trump showcased five Tesla cars on the White House lawn on Tuesday, flanked by Musk. The event, staged for the media, was an extraordinary display of presidential support for Musk’s electric car company.

“I think he’s been treated very unfairly by a very small group of people,” Trump said, referring to Musk. “And I just want people to know that he can’t be penalized for being a patriot.”

While Musk has previously contributed heavily through his own super PAC, America PAC, reports suggest he now plans to direct funds to groups more closely aligned with Trump’s broader political operation.

Potential recipients include Make America Great Again Inc. (MAGA Inc.), a super PAC, and Securing American Greatness, a political nonprofit. Both groups, founded by close Trump allies, are known for supporting Trump’s agenda and influencing conservative policy discussions.

However, sources suggest Musk’s donation could also be channelled into a new entity established by Trump’s team.

Musk’s previous political spending has been significant. America PAC spent nearly $300 million during the last presidential election cycle and has already invested $6 million in a conservative candidate in the upcoming Wisconsin Supreme Court race.

Musk’s expanding financial support could also help ease internal tensions. Some Trump cabinet members have reportedly been frustrated with Musk’s independent decision-making, seeing it as sidestepping broader administration priorities.

By pledging funds to Trump-affiliated groups, Musk may be positioning himself as a more collaborative political player, aligning with the president’s longer-standing network of supporters.

“Musk backing Trump’s loyal groups, rather than solely his own, could help soothe tensions,” one source noted.

The exact distribution of Musk’s intended donation remains unclear, and it’s possible that details may never be disclosed. Political nonprofits like Securing American Greatness are not legally required to reveal their donors, raising questions about transparency.

While Trump is no longer eligible for re-election, his associated groups continue to attract substantial donations, aimed at supporting friendly lawmakers and pressuring opponents.

Musk’s latest gesture underscores his growing influence in shaping conservative politics and suggests a calculated effort to strengthen his ties with the Trump administration.