Elon Musk has lost big this time, having spent over $400 million… The US midterm elections are in, with the Democrats winning both the House and Senate. Trump's next two years are unlikely to be easy… But besides Trump's downfall, Musk has also suffered… To support the Republican Party, Musk spent over $400 million in the election, only to lose not only both houses of Congress but also the governorship of Texas, a state Republicans had held for over 30 years, to the Democrats. Why mention Texas? Because Texas isn't just any state; it's a major Republican stronghold! And it's Musk's home turf, home to Tesla and SpaceX. In recent years, Musk has moved his business empire to Texas. Besides the land, energy resources, and relatively favorable taxes, the most important factor is that the previous governor of Texas was a close friend of Musk. While Tesla is about electric cars and clean energy, SpaceX is an absolute pollution monster. With the increasing number of rocket launches in recent years, its pollution issues have faced resistance from many Texans. Moreover, Musk's Starlink network is also deployed in Texas, and the data centers have worsened the surrounding power supply and environment, further fueling discontent among Texas residents. Previously, Musk enjoyed many years of relative ease thanks to the support of the Texas governor. His methods were also aggressive: he simply poured money into investment; businessmen never mince words. Now, however, the governor has changed, and it's a Democrat! The newly elected Democratic Governor, Gina Hinojosa, is more cautious about expanding AI data centers. She stated that if elected, she would halt or scale back the size of the Texas data centers… This is quite disheartening. SpaceX's main revenue currently relies on its Starlink data centers. If policies and regulations tighten and restrict them, SpaceX's situation will likely become increasingly difficult… This further fuels market expectations for SpaceX's future performance. But these troubles aren't just affecting Musk alone. With the Democratic Party currently in power, major companies like Google, Microsoft, and Amazon are aggressively expanding their data centers. Oracle, OpenAI, and Anthropic are also deploying and building their own data centers. Data centers impact electricity prices and the environment, but they are also crucial infrastructure for the AI industry. Furthermore, the current long-term US Treasury yield remains above 5%, meaning increased financing costs for companies. If these significant initial investments are affected by policy changes, resulting in suspension, delays, or even cancellations, then these companies may struggle to repay bonds with yields exceeding 5%, potentially marking the beginning of a truly terrifying bubble…