Washington, D.C. — In a stunning twist, billionaire tech mogul Elon Musk has declared that the Trump administration is shutting down the U.S. Agency for International Development (USAID), the government’s key humanitarian aid organization. Speaking during a live session on X Spaces (formerly Twitter Spaces) on Monday, Musk claimed he had personally discussed the fate of USAID with President Trump, who allegedly agreed to eliminate the agency entirely.
“He agreed we should shut it down,” Musk stated. “This isn’t just an apple with a worm in it—it’s a ball of worms. The whole thing has to go. It’s beyond repair. We’re shutting it down.”
Three U.S. officials later confirmed to CBS News that USAID is set to be absorbed into the State Department with severe staff reductions. However, insiders claim that the extent of the funding cuts remains fluid, with an official announcement expected in the coming days.
Chaos Erupts at USAID Headquarters
The shock decision has already triggered upheaval within USAID, with reports of staff being locked out of computer systems overnight and denied access to the agency’s Washington headquarters. On Monday morning, employees who arrived to collect their belongings found turnstiles disabled and were escorted from the building.
Meanwhile, Trump doubled down on his administration’s stance, telling reporters in the Oval Office, “I love the concept of USAID, but they turned out to be radical left lunatics.”
Adding to the drama, USAID Chief of Staff Matt Hopson abruptly resigned on Sunday, a move linked to a weekend confrontation involving Musk’s controversial task force, DOGE (Department of Government Efficiency). Two senior USAID security officials were also suspended after allegedly blocking DOGE operatives from accessing classified information. Musk later slammed USAID on X, calling it a “criminal organization” and declaring, “Time for it to die.”
Foreign Policy Fallout and Rising Tensions
The dismantling of USAID has sent shockwaves through the global diplomatic community. A European diplomat described the move as “an extraordinary gift for Russia and China,” underscoring concerns that America’s withdrawal from international aid could shift geopolitical power dynamics.
Despite USAID’s $32 billion budget representing less than 1% of total federal spending, the agency plays a crucial role in U.S. foreign policy, supporting humanitarian aid, development, and security initiatives in over 120 countries. Its abrupt closure could leave millions without critical assistance while reshaping America’s global influence.
DOGE’s Expanding Reach and Security Concerns
Musk’s DOGE task force, created in collaboration with the Trump administration, has rapidly gained influence within federal agencies. Over the weekend, the group gained unauthorized access to Treasury Department systems, including Social Security and Medicare payment data, raising alarms about the scope of its operations. House Democrats, led by Minority Leader Hakeem Jeffries, have vowed to introduce legislation to prevent further security breaches.
Meanwhile, Secretary of State Marco Rubio has been named acting USAID administrator but has yet to clarify who will oversee its day-to-day operations.
As USAID staff scramble for answers and global leaders react with concern, one thing is clear: Musk’s growing influence in Washington has set the stage for a dramatic transformation of the federal government—and possibly beyond.

