--- title: "Elon Musk in Real Trouble After Humiliating Defeat" description: "And after a historic landslide victory for Democrats this week, Musk's decision to go all-in on Texas could come back to haunt him." date: "2026-11-04" modified: "2026-11-04" authors: - name: "Victor Tangermann" job_title: "Senior Editor" link: "https://futurism.com/authors/victor.md" url: "https://futurism.com/future-society/elon-musk-trouble-humiliating-defeat-midterms" categories: - "Elon Musk" - "Future Society" - "The Industrialists" --- # Elon Musk in Real Trouble After Humiliating Defeat ![Elon Musk, co-founder of Tesla and SpaceX and owner of X Holdings Corp., speaks at the Milken Institute's Global Conference.]() *Apu Gomes/Getty Images/Futurism* In late 2020, after months of forcing employees back to the assembly line in the midst of a growing pandemic, Elon Musk decided he'd had enough of being held accountable by regulators in California — and [moved to Texas](). "California has been winning for a long time, and I think they’re taking it for granted," Musk [said]() at the time. "Silicon Valley has too much influence in the world." The move, largely seen as a way to avoid regulatory hurdles, environmental laws, and progressive taxation, culminated in Musk moving the headquarters of both Tesla and SpaceX to the Lone Star state. South Texas is now home to SpaceX's so-called "Starbase," a massive and growing rocket development campus that has run run foul of both locals and federal regulators alike. But now, after a historic landslide victory for Democrats this week, Musk's decision to go all-in on Texas — not to mention the whopping $474 million he spent on supporting Republican nominees nationwide — is looking like a drastic misfire. Democrats [swept Texas](), with voters picking James Talarico as senator, Gina Hinojosa as governor, and Nathan Johnson as attorney general. The stock market immediately punished Musk for the humiliating defeat, with shares of both Tesla and Texas plummeting as soon as the market opened on Wednesday. The election results could also throw a major wrench in Musk's sizable AI investments and data center construction efforts. One of the [biggest winners]() of late Tuesday's victory were opponents of data center development, setting the stage for more moratoriums. In fact, Hinojosa has already called for one, as well as an end to tax breaks for the industry. While it's a win for countless Americans who have opposed the facilities, billionaires like Musk could be faced with a major headache. "There is no way to sugarcoat that Democrats taking control especially over the Senate will create some major hurdles for AI and tech legislation in the Beltway over the next two years," Musk loyalist and tech analyst Dan Ives said in a [note on Wednesday morning](). A sulking Musk is already looking to move on from the humiliation, actively distancing himself from the major data center push. "Data centers in space looking pretty appealing right now," he [tweeted]() after many hours of uncharacteristic silence, referring to SpaceX's plans to develop orbital data centers. "Guess my election-interfering space lasers didn’t work this time," he added in a separate [post](). As much as he might joke, the richest people in the world could soon be held accountable. "We must get big money out of our politics, so no billionaire or trillionaire can buy our elections," Talarico [said]() during his victory speech. **More on Musk:** [*AI Billionaires Are Flooding Money Into Politics to Influence Elections, But It’s Backfiring*]() ## Author I've been at Futurism since 2017, where my role has evolved to encompass design, writing, and increasingly editing. I've always been fascinated by space exploration and advanced transportation, which I've leaned into by interviewing luminaries in those fields while closely following the dimensions of policy and regulation that allow next-generation projects to succeed -- or, sometimes, to fail. I'm also keenly interested in the effects of generative AI on society, policies, and democratic institutions, as well as clean energy, physics and biology, and the vagaries of tech leadership. My work for Futurism has been cited by publications including Ars Technica, Gizmodo, PC Magazine, Jalopnik, Fox News, and the New York Post. I spent my childhood living in locations including Manila, the Philippines, and Geneva, Switzerland, attended McGill University, and now live in Toronto, Canada. Before Futurism I worked at AskMen and a small photography studio. In my free time, I'm an avid gardener, foodie, and craft beer lover, as well as a maker of artisanal hot pepper sauces. I have a magnificent dog named Freida. ### Author social links [Bluesky]() ## More - [Elon Musk Humiliated by Top Scientific Organization]() - [Elon Musk’s Brain Crashes When Asked Why He Thinks Zohran Mamdani Is a Liar]() - [Elon Musk May Be in Serious Trouble for Paying Voters in Swing States]() - [Elon Musk’s Real Estate Goons Threaten Local Residents Not to Sue Over Deafening Data Center Noise]() - [Elon Musk Is Giving $180 Million to Trump Even After Trump Publicly Humiliated Him]() - [Elon Musk’s Ex Says He Bragged About 10,000 Lasers in Orbit That Are “Not a Piece They’ll See on the Chess Board”]() - [Elon Musk Throws Tantrum, Ordering Congress to Shut Down Government]() - [Congress Alarmed at Elon Musk’s Plan to Cancel NASA Moon Landing]()