To support Mr. Trump in battleground states, Musk spent $1 million of his own money every day to give to lucky voters.

On August 20, a federal judge in Texas issued a ruling in a class-action lawsuit, ordering billionaire Elon Musk to appear in court for allegedly organizing an illegal “election lottery” in the 2024 US presidential election.

According to the lawsuit, plaintiff Jacqueline McAferty, a resident of Arizona, claims that Mr. Musk and his political action committee (PAC) lured voters in seven battleground states to sign a petition by promising $1 million in prizes each day, but there was no chance of winning. Participants also had to provide their names, addresses, emails and phone numbers, data that is valuable in political campaigns.

In his response, Mr. Musk argued that the recipients would become spokespersons for the PAC and therefore could not be considered a lottery. However, Judge Robert Pitman said that the “prize” statements led people to believe they were entering a random drawing.

The lawsuit was filed on Election Day, November 5, 2024. A day earlier, a judge in Philadelphia had also refused to suspend Mr. Musk’s giveaway program because it lacked a legal basis.

Representatives for both Mr. Musk and the PAC have yet to officially comment on the incident.

However, this information could be a painful blow to the richest billionaire on the planet, especially when the relationship between him and President Donald Trump has gone through many fluctuations, from close cooperation to serious cracks.

Prior to 2025, Musk was a vocal supporter of Trump, especially during the 2024 campaign. He contributed nearly $300 million to Trump and the Republican Party, making him the largest donor to the election cycle. Musk also took on a leadership role at the Department of Government Waste Reduction (DOGE), where he implemented spending cuts and administrative reforms.

However, the conflict between Elon Musk and Mr. Trump began to arise in May 2025, when Musk publicly criticized the President’s “Big Beautiful Bill”, claiming it was “a disgusting waste” and eliminating subsidies for electric vehicles.

Mr Trump responded by saying he was “very disappointed” in Musk and suggesting that Musk may have forgotten his gratitude. Musk responded on social media that “if it weren’t for me, Mr Trump would have lost the election”, showing deep resentment.

After leaving DOGE in late May 2025, Musk announced that he would form a new political party called the “America Party” to challenge the current two-party system. He said that the party would focus on Senate and House seats to push for reforms.

However, the move has raised concerns within the Republican Party, especially with Vice President JD Vance, who is considered a potential candidate for the 2028 election. Vance has criticized the formation of the new party as “a big mistake” and advised Musk to work within the Republican Party if there are disagreements.

Faced with pressure from Republicans and concerns about the impact on his businesses, Musk has put his plans for the “America Party” on hold. He is now focusing on companies like Tesla, SpaceX, and xAI, while maintaining his relationship with Vice President JD Vance. While he has not officially abandoned the idea of ​​forming a new party, Musk appears to be prioritizing strengthening ties with the Republican Party and preparing for the 2028 election.