Trump ally Steve Bannon lashed out at Elon Musk this week in an interview with Politico Playbook, calling him โsome f—ing punkโ and suggesting the federal government seize SpaceX assets under the Defense Production Act. His comments came as tensions escalated between Musk and President Donald Trump over funding disputes and regulatory threats tied to the administrationโs โOne Big Beautiful Bill.โ
On Thursday, Musk briefly threatened to decommission Dragon, the only U.S. spacecraft currently capable of carrying astronauts to the International Space Station (ISS), before backing off. โGood advice. Ok, we wonโt decommission Dragon,โ Musk replied to a user urging restraint on X.
In a separate interview reported by The New York Times, Bannon urged the administration to open investigations into Muskโs immigration status, alleged drug use and access to classified information.
โThey should initiate a formal investigation of his immigration status, because I am of the strong belief that he is an illegal alien, and he should be deported from the country immediately,โ Bannon said. He also called for Muskโs security clearance to be suspended while those investigations are conducted.
What does NASA rely on SpaceX for?
NASA depends on SpaceXโs Dragon capsule for crew and cargo transport to the ISS. With Boeingโs Starliner grounded after repeated delays, SpaceX remains the sole U.S. provider of human-rated launch capability. SpaceX is critical to ISS operations and is scheduled for use in NASAโs ISS deorbiting plan. SpaceXโs Starship is also the vehicle selected for the Artemis moon landings.
โElon has been reluctant to take on new Dragon-related projects for a while now, and would like to move human missions to Starship as soon as possible,โ longtime SpaceX analyst Eric Berger posted on X. โOf course it would completely end ISS, and impair future commercial space stations. Wild times.โ
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In 2024, NASA awarded SpaceX an $843 million contract to develop a system to safely deorbit the International Space Station by 2030.

SpaceXโs infrastructure is deeply embedded in NASAโs short-term plans. In 2024, NASA awarded the company an $843 million contract to develop a system that could safely deorbit the International Space Station. The Pentagon also depends on Starlink for secure satellite-based military communications. A SpaceX withdrawal would upend both civilian and defense operations.
Are there alternatives to SpaceX?
The most immediate alternative to SpaceX is Russiaโs Soyuz capsule โ a politically fraught option, given the high tensions between the U.S. and Russia. Other emerging providers, like Blue Origin and Sierra Space, have yet to deliver operational crew vehicles. Boeing, a more established contractor, has launched Starliner but has not completed a successful crewed mission.
What is the Trump administration’s position?
A person close to the White House told Playbook that Trump remains โworried Elon is not well,โ but is willing to โpunch at whoever punches him.โ Despite the public fallout, aides on both sides are reportedly working to ease tensions. No resolution has been announced.