Democrats' Midterm Wins Put Musk's Tesla and SpaceX in Crosshairs

Democrats won control of the U.S. Congress and Texas state government in the November 2026 midterm elections, making Elon Musk a primary target of investigation after he spent over $450 million to oppose them. The political shift threatens his companies and personal wealth. Democratic lawmakers plan to investigate whether Musk used his government position at DOGE to benefit his own businesses, which hold billions in federal contracts. Texas Attorney General-elect Nathan Johnson has indicated he will probe Musk, while Governor-elect Gina Hinojosa has criticized him previously. Musk's Tesla and SpaceX have major operations in Texas, where stricter regulations could affect data center construction and growth. Since his net worth depends largely on stock values, any legal or business setbacks could impact his fortune. Musk has vowed to retaliate against his political opponents.