Azernews.Az

By Alimat Aliyeva

The board of directors at electric vehicle giant Tesla has reportedly begun the search for a new CEO to potentially replace the company’s founder, Elon Musk, Azernews reports.

According to insider sources, the move is driven by a recent decline in Tesla’s stock value and growing dissatisfaction among some investors. These shareholders argue that Musk has become increasingly distracted by his other ventures—particularly his role as head of xAI (his artificial intelligence venture) and his outspoken political and administrative ambitions, including his efforts to influence U.S. government efficiency reforms.

While Tesla remains one of the most influential companies in the electric vehicle market, its leadership dynamics have drawn criticism. Some board members have previously urged Musk to devote more attention to Tesla's core operations, especially as competition in the EV industry intensifies globally. However, it remains unclear whether Musk has been formally informed of the board’s decision to begin searching for a possible successor.

The move comes at a critical time for Tesla, which is facing slowing growth in key markets such as China and Europe, margin pressure from price cuts, and increasing rivalry from both legacy automakers and emerging EV startups.

Elon Musk’s leadership has always been a double-edged sword for Tesla. On one hand, his bold vision and relentless drive have propelled the company to the forefront of the automotive and tech industries. On the other hand, his growing list of responsibilities—including leadership roles at SpaceX, Neuralink, xAI, and X (formerly Twitter)—has raised questions about how effectively he can steer Tesla’s long-term strategy. If the board does proceed with a leadership transition, it would mark a historic shift—not only for Tesla but also for the broader EV and tech landscape. The identity and vision of a potential new CEO could significantly reshape the company’s direction in the coming years.