Tesla Set For Shake Up
Tesla is set for monumental shake-up
The Musk Factor
It could be argued that Elon Musk, the enigmatic and somewhat unconventional inventor and entrepreneur, is as much a part of Tesla as Steve Jobs was of Apple, and Sean Connery was of James Bond.
One is not complete without the other.
However, in the wake of Elon Musk’s now infamous tweet in which he claimed he had “secured funding” that would enable him to take Tesla private, time has been called on his period as company chairman.
As part of a settlement deal with the Securities and Exchange Commission, Musk has taken a step back, though will remain the company’s chief executive.
How To Start The Recovery?
However, this has left Tesla board members with something of a headache.
How do you replace the man that has, to all intents and purposes, made Tesla the organisation it is today?
How can the company overcome what has, in recent weeks, become a PR disaster, and come out on the other side smiling? Who is the person to stop Tesla’s stock slide?
The answer may surprise you.
According to numerous reports, outgoing Fox CEO James Murdoch is set to take Musk’s place in the Tesla hot-seat.
The 45-year-old has long been considered one of the favourites for the role, but the odds have been slashed on him being appointed in recent days.
And, though Elon Musk himself has stated that current reports linking Murdoch to the position are “wide of the mark”, numerous sources – currently unnamed – have suggested that Musk’s opinion is not indicative of the wider company position.
Murdoch is a veteran of the business world, and though he has his critics, he has led Fox to numerous successes.
He was central to securing Sky’s sale to Comcast, as well as the sale of 21st Century Fox’s entertainment assets to Walt Disney.
But what can Murdoch do to stop Tesla’s current poor run of negative press and a poor market showing?
Stock Price Action
In recent days and weeks, Tesla’s shares have slipped, with many investors instead choosing to back Nio, a car manufacturer often referred to as the ‘Tesla of China’.
In fact, after it emerged that Tesla’s second-largest shareholder – Baillie Gifford – bought shares in Nio, shares slipped even further.
It remains to be seen what the future holds for Tesla, but there is no doubting that this period of transition is one of the most significant times in the company’s history.