Tesla investor reveals key requirements for a new CEO as reports of pressure for Elon Musk to step down swirl
An investor of Tesla has revealed the key requirements for a new CEO as reports of pressure for Elon Musk to step down continue to swirl.
Musk has been at the helm of Tesla since 2008 but his leadership over the EV manufacturing firm has become uncertain in recent months.
From the start of this year, the billionaire has had his hands full with his new role in government, taking on the job as the head of the Department of Government Efficiency (DOGE), which he has recently stepped back from.
However, it appears that investors have become unhappy with Tesla’s performances as stocks have continued to be unstable in the last few months and a new CEO could potentially be on the horizon.
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Earlier this month, the Wall Street Journal reported that members of the board at Tesla had already reached out to recruitment companies to start the hiring process.
But what requirements are expected of someone stepping up to the plate? One investor has lifted the lid.
According to Business Insider, investors believe that the job would be ‘nigh-on impossible’ to replace.
Speaking about Musk, Gene Munster, who is the managing partner at Deepwater Asset Management and a Tesla investor, said: “He’s a fabric that holds Tesla together and moves it forward. He’s one of those people who can’t be replaced.”
He added: “Culturally, it’s hard for them [Tesla] to bring somebody over. Their whole DNA is about disrupting the standard.”
But if someone else was to fill those shoes, the list of possible candidates is quite short.
Seth Goldstein, who is an analyst at Morningstar, revealed that the prime candidates actually come from within Tesla and could include Senior Vice President of Automotive Tom Zhu, as well as the current CFO, Vaibhav Taneja.
Another possible selection for the CEO job is Omead Afshar, who was formerly Musk’s chief of staff.
Speaking about what it’s like to work at Tesla, Goldstein continued: “What you see is that the division executives and the leaders have a lot of decision-making power to run things. It’s almost like a good leadership training ground.”
Some key requirements for the role include getting Musk's seal of approval and being from with the Tesla ranks, meaning another possible candidate JB Straubel, who is the CEO of Redwood Materials and a current Tesla board member, could stand a good chance.
Talking about Straubel, Munster said: “I could see that being a big win on the level that he knows Tesla. He’s also probably the person who has the best working relationship with Elon.
“Elon and JB have something that’s pretty special. And I think it’s unique in Elon’s orbit, the mutual respect that they have for each other.”