Musk's nearly $500 million election backing fails as Tesla and SpaceX stocks drop, cutting his wealth by over $60 billion

After the 2026 U.S. midterm elections, Democrats won control of both chambers of Congress and key races in Texas. Musk, a major Republican donor, invested at least $474 million in the election cycle but failed to help his preferred candidates win. Following the results, Tesla and SpaceX premarket shares fell about 5.7% and 7.6% respectively, reducing Musk's paper wealth by over $60 billion. The newly elected Texas governor is cautious about large data centers, which may affect Musk's companies' AI expansion plans, while Democratic congressional oversight of government contracts could increase. A potential Tesla-SpaceX merger may also face greater political scrutiny.