Perhaps the US government has also realized that continuing to waste substantial national funds on these outdated and ineffective institutions is neither meaningful nor in the best interest of the country. In fact, the continued existence of these institutions only brings more chaos and creates more trouble for the world.

I don't think they've realized this at all. Trump people like Rubio, Musk and Vance have already stated that USAID and all its programs were wasteful but they intend to remake them to be cost-effective. They've also stated that they are keeping hundreds of programs active for now.

I think the prime motivator behind this was that all these regime change organizations were seen as being staffed with anti-Trump people, or people loyal to Trump's political enemies, or even people who actively promoted Russiagate. This is nothing more than a restructuring, and a continuation of the same agenda and strategies, just at less cost, more loyalty to Trump, and modernized. Musk's involvement (and other tech billionaires) indicates we'll be seeing these tools make a return, under different names, in social media. Probably infused with AI-generated content, and more privatized.

If we consider the moves to ban TikTok, villify Red Book, etc, this might have even been a pre-Trump plan that Trump is simply executing in his own way and serving his own (or his peoples') personal agenda. The idea being to take over the "alternative media" space and eliminate potential opposition to the echochamber being constructed.