Elon Musk: Tweeting, sleepless, under siege
Is the Tesla CEO losing his grip?
The smartest insight and analysis, from all perspectives, rounded up from around the web:
Is Elon Musk losing his grip? asked David Gelles at The New York Times. That's the question Wall Street, Silicon Valley, and Tesla's investors are asking after "increasingly erratic" behavior by the impetuous billionaire. Musk set off shock waves two weeks ago, when he tweeted he'd secured a multibillion-dollar deal to take Tesla, the publicly traded electric-car company he heads, private. That impulsive announcement — which appears to be untrue — triggered a Security and Exchange Commission investigation, and led Tesla board members to seek "a No. 2 to take the pressure off Musk." In an interview, Musk acknowledged he is going through "the most difficult and painful year of my career," and said that he was toiling 120 hours a week to hit production goals for Tesla's Model 3, his first mass-market car. He revealed that he was spending three or four days at a time inside Tesla's factory without seeing the light of day, and taking Ambien regularly to get even minimal sleep. Unfortunately, he only compounded the pressure he's feeling with his claim about taking the company private. That tweet "sent the stock soaring," said Chris Isidore at CNN, which is why the SEC is asking questions. And "even if the SEC doesn't find he crossed the line," Tesla has been hit with several shareholder lawsuits.
Face it — "Elon Musk is broken," said Alex Davies at Wired. The mercurial entrepreneur appears to have reached the dangerous point where he believes he's the only person qualified to lead Tesla. There are "hundreds of capable executives at the world's automakers," but he's convinced the public, and investors, that "there's no replacing Elon Musk." Musk made electric cars genuinely desirable and generated plenty of goodwill. But now the cult of personality Musk built when times were good has largely faded. Though fans and investors are accustomed to Musk's missed targets and broken promises, the Model 3 has become an embarrassment. Musk also keeps "finding himself the center of unwanted attention." When he recently claimed to have invented a mini-submarine that could save the boys trapped in a Thai cave, he was greeted with widespread mockery. "His mantle as a Renaissance Superman is slipping."
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
Clearly, Musk has spread himself too thinly, said Felix Salmon at Slate. The overburdened CEO doesn't just run Tesla. There's SpaceX, where he built the world's most powerful rocket; the infrastructure startup Boring Co.; and Neuralink, developer of "interfaces to connect humans and computers." That's just too much for anyone, even a genius. Every extra hour he spends working damages "not only his own physical and mental health, but the corporate health of Tesla too."
In fact, Tesla seems to be having serious cash-flow problems, said Tim Higgins at The Wall Street Journal. The company is taking longer to pay for parts, and suppliers think dealing with Tesla is "a financial risk to their companies." Now Tesla's board is wedged between their loyalty to Musk "and their larger responsibility to shareholders," said Dana Hull and David Welch at Bloomberg. Musk's Ambien use, his impulsive tweeting — often while behind the wheel — and the drumbeat of reports that Tesla struggles to pay suppliers and is nearing bankruptcy should compel the board to step in.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
-
How to make the most of your leftover pumpkins
The Week Recommends As the Halloween fun wraps up, snap up pumpkins still on sale and don't leave your jack-o-lanterns to rot
By Tess Foley-Cox Published
-
How Harris and Trump differ on education
The Explainer Trump wants to disband the Department of Education. Harris wants to boost teacher pay.
By Joel Mathis, The Week US Published
-
How to minimize capital gains tax on investments
The Explainer It can take a chunk out of your profits
By Becca Stanek, The Week US Published
-
The pros and cons of noncompete agreements
The Explainer The FTC wants to ban companies from binding their employees with noncompete agreements. Who would this benefit, and who would it hurt?
By Peter Weber Published
-
What experts are saying about the economy's surprise contraction
The Explainer The sharpest opinions on the debate from around the web
By Brendan Morrow Published
-
The death of cities was greatly exaggerated
The Explainer Why the pandemic predictions about urban flight were wrong
By David Faris Published
-
The housing crisis is here
The Explainer As the pandemic takes its toll, renters face eviction even as buyers are bidding higher
By The Week Staff Published
-
How to be an ally to marginalized coworkers
The Explainer Show up for your colleagues by showing that you see them and their struggles
By Tonya Russell Published
-
What the stock market knows
The Explainer Publicly traded companies are going to wallop small businesses
By Noah Millman Published
-
Can the government save small businesses?
The Explainer Many are fighting for a fair share of the coronavirus rescue package
By The Week Staff Published
-
How the oil crash could turn into a much bigger economic shock
The Explainer This could be a huge problem for the entire economy
By Jeff Spross Published