Why Vivek Ramaswamy might leave Elon Musk's DOGE

Is Indian-origin entrepreneur Vivek Ramaswamy considering resigning from his role at the Department of Government Efficiency?

US President-elect Donald Trump appointed Ramaswamy to co-lead the agency, which will function independently of the government, alongside Elon Musk, the world’s wealthiest man.

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The department is tasked with improving government efficiency and will provide advisory and guidance to the White House.

However, recent reports suggest that Ramaswamy may soon step down from the task force.

Here’s why this could happen:

Why Vivek Ramaswamy might be leaving DOGE

Sources have told CBS News that Vivek Ramaswamy might be considering a run for the Senate seat in Ohio instead of pursuing the governor’s office.

Those close to Elon Musk have allegedly been undermining Ramaswamy for weeks due to frustration over his limited involvement in the actual work required, according to CBS News.

Ramaswamy recently met with Ohio’s incumbent governor, Mike DeWine, regarding the Senate seat left vacant by Vice President-elect JD Vance. However, on Friday, DeWine announced that he would appoint his lieutenant governor to the position.

The expected resignation of Ramaswamy appears to originate from tension between him and the incoming staff at the agency, CBS News reported. Musk’s associates have also expressed dissatisfaction with Ramaswamy’s lack of engagement in crucial tasks, the report said.

Ramaswamy’s possible departure could have significant implications for DOGE, which aims to reduce government spending by as much as $2 trillion by July 4, 2026 - around the time his campaign for governor in Ohio would need to be in full swing. After the election, Ramaswamy informed members of the transition that he intended to run for governor, Politico reported.

The Ohio gubernatorial election is set for November 2026, with Republican Gov. Mike DeWine being term-limited.

Politico, citing several sources familiar with the meeting, reported that Ramaswamy attended an all-hands DOGE meeting held Saturday at SpaceX’s Washington headquarters. Musk was absent from the meeting, and Ramaswamy was responsible for the deregulation file, while broader issues were handled by Musk.

With Musk potentially taking sole leadership at DOGE, some people within the incoming government believe that he will be able to move forward without obstruction.

“Elon basically runs the show,” one of the advisers told Politico.

“Time is their biggest enemy. We’ll see.”

Doge’s other challenges

The agency is facing more than just internal tension.

Last week, Musk admitted that the ambitious target of cutting $2 trillion from the federal budget is unlikely to be realised.

“I think we’ll try for $2 trillion. I think that’s the best-case outcome,” Musk said.

“But I do think that you kind of have to have some overage. I think if we try for $2 trillion, we’ve got a good shot at getting $1 [million].”

Economists have warned since Musk introduced the idea at a Trump rally in October that slashing nearly a third of the nation’s federal budget is highly impractical.

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Should Ramaswamy proceed with a gubernatorial campaign and secure victory, it would mark his first foray into public office. The Cincinnati-born entrepreneur previously launched a Republican presidential bid to challenge Trump before withdrawing in January 2024.

In the primaries, Ramaswamy is expected to face Ohio Attorney General Dave Yost, who has gained attention for his efforts to defend the state’s six-week anti-abortion law. Former Ohio Department of Health Director Amy Acton has also declared her candidacy as the Democratic nominee, The Independent reported.

What we know about DOGE

The acronym “DOGE” is a reference to Musk’s favourite cryptocurrency, dogecoin. In a statement, Trump mentioned that Musk and Ramaswamy would work outside of the government to provide the White House with “advice and guidance.”

They will also collaborate with the Office of Management and Budget to “drive large-scale structural reform and create an entrepreneurial approach to Government never seen before.” Trump added that this initiative would shake the government systems.

However, Musk recently admitted that his ambitious goal of cutting $2 trillion in spending from the $6.8 trillion federal budget would be a challenging task.

ALSO READ | Trump picks Musk, Ramaswamy to lead Department of Government Efficiency: What is it?

Ramaswamy has made cultural issues a core part of his political identity, speaking out against what he perceives as “woke” policies being enforced in corporate, academic, and government institutions. Even when running as Trump’s primary rival, Ramaswamy was cautious in opposing him, often offering praise.

Earlier this month, The Washington Post reported that Musk and Ramaswamy had accelerated hiring for DOGE, with more than 50 staffers already working at SpaceX offices, which Musk owns. DOGE aimed to have close to 100 employees by Trump’s inauguration on January 20, according to the report.

The agency’s mission is to advise on reducing the federal bureaucracy, cutting federal spending, and restructuring federal agencies, according to Trump, who has set a deadline for DOGE’s work to be completed by July 2026.

Before entering politics, Ramaswamy attended Yale Law School with Vance. He made millions as a hedge fund manager and through the sale of his stake in a biotechnology firm he co-founded.

_With inputs from age_ncies