Tesla dismisses claims suggesting an imminent replacement for Elon Musk as CEO
Tesla and Elon Musk: Denying Successor Search Rumors
Contrary to a report by the "Wall Street Journal", Tesla's board has refuted claims that they hired headhunters to find a successor for CEO, Elon Musk. The company declared, "This is absolute bunkum," roughly 6 hours post the report's publication on Musk's platform X.
Elon Musk and the board are seemingly optimistic about Musk leading the company's growth plans, as per Robyn Denholm, Tesla's board chair, in a statement.
The "Wall Street Journal" based its report on confidential sources, alleging that Tesla's board contacted various management-focused recruitment firms around a month ago. The report also indicated that the board had urged Musk to devote more time to Tesla matters, with no immediate response from the company.
Post Tesla's statement, Musk asserted that the "Wall Street Journal" was engaging in shoddy journalism. The newspaper initially stood by its report.
Tesla and Musk: Inseparable
Musk has been the driving force behind Tesla for almost two decades, earning the title, "Tesla is Musk, and Musk is Tesla." As recently stated by industry analyst, Dan Ives, of the financial firm Wedbush.
The "Wall Street Journal" had pointed out that the board's recent considerations were unknown to the newspaper. Around a month ago, Musk faced backlash from investors for spending extensive time in Washington as a cost-cutter for US President Donald Trump. However, last week Musk announced that he would scale back his political involvement and focus more on Tesla's operations.
This decision could potentially ease stock market tension. Yet, Musk's political stances, along with his appearances in Washington, have detered some potential Tesla buyers. Analyst Ives estimates that this could lead to a permanent decrease in demand for Tesla vehicles by 15 to 20 percent.
dpa/lidi
Enrichment Insights:- Recent updates suggest Tesla's board search for Musk's successor despite denials from both Tesla and Musk. The report suggests that Tesla's board began their search around a month ago, reaching out to various executive search firms [1][2][3].- The report was based on confidential sources and the current status of the succession planning remains unknown, with no confirmation on whether these efforts are ongoing or affected by Musk's reassurances [2][3].
- What has been rumored, according to the Wall Street Journal, is that Tesla's board hired headhunters to find a successor for CEO Elon Musk.
- The report, based on confidential sources, indicated that Tesla's board contacted various management-focused recruitment firms around a month ago.
- Musk, in response to the report, labeled the Wall Street Journal's journalism as shoddy.
- Despite the report, Tesla's board chair, Robyn Denholm, and Musk himself seem optimistic about Musk leading the company's growth plans.
- The technology and business world has long associated Musk with Tesla, with industry analyst Dan Ives of financial firm Wedbush referring to Tesla as "Musk is Tesla."
