Khosla Calls for New Centrist Party After Musk's Critique of US Political System

Venture capitalist Vinod Khosla has called for a new centrist political party in the US after Elon Musk appeared to agree with a post criticising both Democrats and Republicans. Khosla made the call on X after Musk replied “True” to a post by author Gad Saad, who accused both major US parties of hurting the country in different ways. The exchange began on August 8, 2026, when Gad Saad posted on X that Democrats were damaging the US through extreme positions. He also said Republicans were hurting the country through inaction. Saad warned that if political leaders did not step in, the damage could eventually become impossible to reverse. “Democrats, via their lunatic positions, are destroying the United States. Republicans , via their apathy to stop these positions, are destroying the United States. If real American heroes do not step up and save the republic, it will be lost forever. Many people will not connect the dots until it is way too late,” Saad wrote on his X post, which ended up acquiring over 7mn views. Soon after, Musk reposted the tweet with his thoughts. The next day, Khosla quote-posted Musk’s reply and used it to make his case for a new political party. Agree we need a party in the middle: not fringe MAGA and not fringe socialist left. Someone rational please step up. We need a growth economy with with capitalism and fairness and fewer perks for the rich and powerful. Also need economy to help those who can’t help themselves… https://t.co/nWjQzF3YVo Khosla, the founder of Khosla Ventures and an early investor in OpenAI, said he agreed that the US needs a centrist party. He said such a party should reject both “fringe MAGA” and the “fringe socialist left.” Khosla said the new political approach should focus on economic growth while also making sure the benefits of that growth are shared more fairly. He argued for an economy that combines capitalism with fairness. He also said the system should reduce the advantages enjoyed by wealthy and powerful people, while protecting those who cannot support themselves, including the elderly, disabled and sick. “Agree we need a party in the middle: not fringe MAGA and not fringe socialist left. Someone rational please step up. We need a growth economy with capitalism and fairness and fewer perks for the rich and powerful. Also need economy to help those who can’t help themselves like elderly, handicapped, sick,” he wrote. The exchange comes at a difficult time for Trump, whose approval ratings have fallen as the November midterm elections get closer. Recent polling averages show Trump’s approval in the high 30s, while his disapproval is in the high 50s to around 60%. These are among the lowest approval numbers of his second term. Rising prices are also hurting Trump’s numbers. Higher fuel and food costs, along with the wider cost of living, have become major concerns for voters. Trump himself will not be on the ballot in November. However, the midterm elections are still expected to be heavily influenced by how voters view his presidency. The exchange is worth noticing because Khosla and Musk have publicly disagreed on several issues over the years. Their differences have included Donald Trump ‘s presidency, immigration, AI regulation and the future direction of OpenAI, among other issues. Khosla identifies as politically independent but criticises MAGA-aligned politics, occasionally supporting Democratic positions. Musk, meanwhile, has moved closer to Trump-era policy positions and has repeatedly criticised excessive progressive policies. This is not the first time Khosla has spoken about the need for changes to the US economic and political system. He has previously supported ideas such as higher capital gains taxes and universal basic income. His views are also shaped by his concerns about how AI could affect jobs and the economy. Khosla expects AI to bring major changes to the labour market. He has argued that government policies may be needed to help people deal with the economic disruption that could come with those changes.