Elon Musk Spent Rs 4,700 Crore On Midterms. Now Democrats May Come For His Empire

Billionaire Elon Musk had spent nearly half a billion for Republican candidates and to make sure Texas, which is the primary base of operations and personal residence for him and his major companies, stays red.

The Tesla CEO had also helped elect US President Donald Trump and spent over a quarter of a billion dollars to help him win the 2024 presidential elections.

After Republicans suffered a stunning defeat and Texas elected its first Democratic governor in more than thirty years, Musk emerged as a major political and financial loser.

Musk urged his followers to vote for Republicans on Tuesday when voting started. However, Democrats seized both ‌chambers of Congress and Gina Hinojosa defeated Greg Abbott in the Texas governor's race.

Following reports that a resurgent Democratic Party planned to launch aggressive investigations into his sprawling business empire if they won the 2026 midterm elections, Musk issued a retaliatory warning on his social media platform, X.

Responding directly to a report titled "Capitol Agenda: Dem Gavels Are Coming for Elon Musk," he posted, "Live by the sword, die by the sword. Those who pick fights with me should understand that I will find out who is really pulling the strings and come for them, not just their puppets..."

Live by the sword, die by the sword. Those who pick fights with me should understand that I will find out who is really pulling the strings and come for them, not just their puppets …

— Elon Musk (@elonmusk) October 21, 2026

Shares of SpaceX, fell 3.8 per cent in premarket ​trading, while Tesla, was down 3.6 per cent as both stocks lagged the broader market.

Slower data center approvals could heavily impact Musk, stalling access to the $28.5 trillion market SpaceX pitched to investors ahead of its IPO.

Democratic lawmakers have scrutinised Musk for multiple controversies, including his limits on Ukrainian military satellite communications, sweeping federal job cuts under his Department of Government Efficiency leadership, and the extensive government contracts and subsidies his companies receive.

Following the midterm election victory, incoming House Oversight Committee Chair Robert Garcia (D-CA) issued a stark warning to Trump, his family, and his administration, stating, "Lawyer up."

The House Oversight Committee acts as a congressional watchdog, vested with wide-ranging powers to mandate witness testimony, request official documents, and compel cooperation through subpoenas.