President Donald Trump is understood to have informed his inner circle, including Cabinet members, that Elon Musk will soon step back from his current role in the administration.
The tech billionaire is expected to transition away from his position as "governing partner" and "Washington hatchet man" in the coming weeks.
Despite the planned departure, Trump reportedly remains pleased with Musk's work on the Department of Government Efficiency initiative.
The decision comes after discussions between the two men in recent days.
Trump reportedly remains pleased with Musk's work on the Department of Government Efficiency initiative
GETTYMusk's departure is likely to coincide with the end of his "special government employee" status, which temporarily exempts him from certain ethics and conflict-of-interest rules.
This 130-day period is expected to expire in late May or early June.
Both men have hinted publicly at this transition timeline.
When asked by Fox News whether he'd be ready to leave when his special status expires, Musk essentially declared mission accomplished.
"I think we will have accomplished most of the work required to reduce the deficit by $1 trillion within that time frame," Musk told Fox News' Bret Baier.
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Both men have hinted publicly at this transition timeline
REUTERSTrump addressed the situation on Monday night, telling reporters: "At some point Elon's going to want to go back to his company. He wants to. I'd keep him as long as I could keep him."
White House spokesperson Harrison Fields added: "This White House would love to keep Elon around for as long as possible."
Musk's looming retreat comes amid growing concerns that he has become a political liability for the Trump administration.
This was highlighted on Tuesday when a conservative judge Musk vocally supported lost his bid for a Wisconsin Supreme Court seat by 10 points.
Democrats seized on Musk's approximately £20 million investment in the race, with some openly calling it a referendum on the polarising mogul.
Trump said that Musk wants to get back to his companies
REUTERSThe Wisconsin defeat threw the political threat Musk poses into stark relief.
According to Trump insiders, Musk is likely to retain an informal role as an adviser to the president.
He is expected to continue being an occasional presence at the White House.
One senior administration official cautioned that anyone who thinks Musk will completely disappear from Trump's orbit is "fooling themselves."
This represents a significant shift from a month ago, when White House officials predicted Musk was "here to stay" indefinitely.
However, Karoline Leavitt, Assistant to the President and White House Press Secretary, said that the “scoop” is garbage.
"Elon Musk and President Trump have both *publicly* stated that Elon will depart from public service as a special government employee when his incredible work at DOGE is complete," she said on X.
