The U.S. Agency for International Development (USAID) has not been directly investigating Elon Musk as an individual, but its Office of Inspector General (OIG) was examining a specific partnership involving Musk’s company, SpaceX, through its Starlink satellite internet service. This investigation, initiated before USAID faced significant disruptions in early 2025 under the Trump administration and Musk’s Department of Government Efficiency (DOGE), centered on USAID’s oversight of Starlink terminals provided to Ukraine during its conflict with Russia. Here’s what’s known as of February 21, 2025:
The investigation began in May 2024, when USAID’s OIG announced an inspection titled “USAID’s Oversight of Starlink Satellite Terminals Provided to the Government of Ukraine.” The focus was on how USAID managed and monitored roughly 5,000 Starlink terminals it funded in 2022—part of a broader effort with SpaceX and private donors to supply over 20,000 terminals to Ukraine. These terminals provided critical internet access amid Russia’s invasion, supporting military and civilian communications. However, concerns emerged over accountability and usage:
- Starlink Usage Issues: In September 2023, Ukrainian forces discovered a downed Russian drone with a Starlink terminal, raising questions about how Russia accessed the technology despite Musk’s assurances that SpaceX restricted sales to Ukraine and disabled roaming in Russia. Reports also surfaced of Russian troops using Starlink within Ukraine, prompting scrutiny of whether USAID-funded units were involved or if SpaceX’s controls were inadequate.
- Musk’s Decisions: Walter Isaacson’s 2023 biography of Musk revealed that Musk had limited Starlink’s functionality in 2022 to prevent a Ukrainian drone attack on Russia’s Black Sea Fleet near Crimea, citing escalation risks. This unilateral move, despite USAID’s investment, likely triggered questions about SpaceX’s alignment with U.S. aid objectives and contractual obligations.
- OIG Objectives: The OIG aimed to assess USAID’s “accountability checks” and oversight mechanisms for the Starlink program, not Musk personally. Publicly available OIG notices (since removed from USAID’s website post-January 2025) indicated a routine evaluation of program management, but the timing and context—amid SpaceX’s Ukraine role and Musk’s reported contacts with Vladimir Putin in late 2022—fueled speculation of deeper concerns.
The investigation’s status became murky after DOGE’s actions in early 2025. On January 20, 2025, Trump’s inauguration day, an executive order froze foreign aid, and Musk, as DOGE head, targeted USAID, calling it a “criminal organization” and pushing for its dismantlement. By February, USAID’s website was offline, staff were furloughed, and key pages mentioning Starlink vanished, per reports from The Lever and others. Critics, including posts on X and media like Newsweek, suggest Musk’s aggressive moves against USAID—shutting it down and firing its Inspector General—might reflect a conflict of interest, given the OIG’s probe into his company’s activities.
However, no public evidence confirms the investigation uncovered misconduct by Musk or SpaceX directly. USAID’s OIG probes are standard for large contracts, and the Starlink review was likely procedural, not a targeted “investigation of Musk.” Musk’s defenders argue DOGE’s focus on USAID stemmed from broader efficiency goals and the agency’s perceived inefficiencies (e.g., a 2024 OIG report criticized USAID’s grant oversight), not a personal vendetta. Critics counter that the timing—shuttering USAID just months after the Starlink probe began—raises legitimate questions about motives, especially given Musk’s SpaceX contracts worth $15 billion with the U.S. government and his influence over DOGE.
In summary, USAID’s OIG was investigating its own oversight of a SpaceX-Starlink partnership in Ukraine, not Musk himself, focusing on program management and accountability. The probe’s interruption by DOGE’s actions in 2025, alongside Musk’s vocal attacks on USAID, has sparked controversy and speculation, but concrete findings remain undisclosed as of now.
