Tech billionaire Elon Musk, who once served in a special government role, has hinted at launching third parties to rival his former boss, President Donald Trump. However, insiders have shared that these ambitions may have fizzled out just as quickly as they surfaced.

Musk’s relationship with the federal government soured following his endorsement of Trump’s significant spending bill, which didn’t reduce expenditures as drastically as he had hoped. In a series of tweets, he showed support for those who voted for the legislation, even announcing plans for a new third party named the “American Party.”

Yet, it’s been over a month since he mentioned his third-party efforts. According to insiders, Musk seems to be coming to terms with the challenges involved in this endeavor.

One insider commented, “I think Elon realizes that the president was justified in labeling it a ‘silly stunt.’ It doesn’t do much to advance the causes he’s passionate about. In fact, these moves might only provide Democrats with an opening to regain control of Congress.”

A month after Musk’s initial announcement of the American Party, it appears he’s now focusing on preventing Trump and the Republicans from gaining ground in upcoming elections. Additionally, another source close to the White House indicated that Musk’s third-party ambitions aren’t even on their radar.

Individuals within Trump’s circle confirmed that there are no concerns from the White House regarding Musk as a political threat, particularly since he hasn’t spoken of the party since Trump labeled it “silly” back on July 6.

“Every conversation I have had suggests that people are uncertain about what he’s really aiming for, and there’s been no solid plan outlined from Musk,” shared a source.

Insiders reported that since Musk’s founding of the American Party, leadership at Tesla has shown little enthusiasm for moving forward, including declared candidates.

As someone who has worked with Musk and had the chance to invest early in Tesla, one individual remarked that he seems more focused on public perceptions than the details of his initiatives.

“But honestly, the American Party doesn’t seem like it’s going to happen, so I’m not concerned about it,” he concluded.

This sentiment is echoed by Fishback, who pointed out that Musk might have realized the dangers his political ambitions pose to both himself and his business, especially regarding a Democratic resurgence. “I’ve communicated this sentiment to Tesla executives as well,” he added.

Musk, who oversees Doge as a special federal appointee, has spent around 130 days trying to address federal spending issues. Prior to returning to the private sector, he held a press conference with Trump in the Oval Office, where he received symbolic keys to the White House.

Just days later, Musk voiced strong opposition to Trump’s spending bill on social media, vowing to establish the American Party if the bill passed.

Trump has since threatened to terminate Musk’s federal contracts, hinting that without significant subsidies, Musk might have to shut down his operations and return to South Africa. “Without these contracts, there would be no more rocket launches, satellites, or electric vehicles. Our country stands to save a great deal of money,” Trump remarked.

The public fallout has raised concerns among Republicans who fear Musk’s considerable financial resources could be redirected to undermine the president. When Musk first mentioned the idea of forming the American Party, many conservative critics voiced apprehension about its potential impact on the GOP.

“Starting a political party is challenging, and it’s uncertain where they might go. My advice to Elon, whom I genuinely respect, is to consider delegation of power among those committed to preserving Western civilization,” another source stated.

Those close to Trump’s administration indicated a “wait and see” approach regarding Musk’s actual efforts to establish a third party, including finding congressional candidates and securing funding.

Though Musk’s political aspirations appear to be on hold, his Political Action Committee (PAC) is still active, albeit charting a different course. It has invested $1 million to support legislative initiatives after denouncing the spending bill he initially backed. What happens if Musk shifts focus from third-party politics to funding candidates aligned with GOP values remains to be seen.

“If it comes down to Musk’s financial backing versus the president’s support, I’d place my bet on the president every time,” remarked a Trump insider.