Exclusive: Trump Suggests Elon Musk May Exit Key Position - Insider Sources

President Donald Trump has indicated to top advisers that Elon Musk could be taking a step back from his current role in the administration, sources familiar with the matter told ABC News.

Musk is employed by the government as a "special government employee" — meaning his appointment is not to exceed 130 days. His term would be up around the end of May, but it was widely rumored that the White House could take steps to keep him on or extend his employment status in some way.

As ABC News has previously reported, Musk's decision-making has divided Trump's top aides and at times has sparked rifts among those closest to the president.

Some of Musk's defenders in the White House caution reporting that Musk is being pushed out is overblown, sources said.

Trump remains pleased with what Musk and his Department of Government Efficiency team have done with their cost-cutting across the government, despite the backlash publicly and in the courts, according to sources.

Politico was first to report the news that Trump had told top advisers that Musk would likely be taking a step back from his role in the coming weeks.

Trump said publicly on Monday that Musk will likely have to go back and run Tesla at some point. The president was asked specifically about the 130-day special government employee time limit.

"Well, I think he's … amazing. But I also think he's got a big company to run. And so, at some point he's going to be going back. He wants to." Trump said.

ABC News previously reported that some White House officials who had grown frustrated with Musk had resigned themselves that the billionaire is unlikely to be reined in anytime soon and had instead focused on managing the situation as best they can until his special government contract comes to an end in May.

White House press secretary Karoline Leavitt refuted the Politico report in a post on X Wednesday.

"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," Leavitt said.

--- Source: ABC News