One of Tesla’s earliest investors has said it’s time for Elon Musk to step down as Tesla’s CEO — unless he gives up his new government job.
Ross Gerber told Sky News that Musk’s expanding interests, including his role in the Trump administration, have left Tesla neglected and in trouble.
Gerber described Musk as “too divisive” and said Tesla needs a leader who is fully focused on the business.
Musk’s New Government Role Sparks Backlash
Since Donald Trump’s re-election, Musk has been running the Department of Government Efficiency (DOGE) — a new government department tasked with making swingeing cuts to federal staff.
The role has sparked public outrage and protests. Investors are now questioning whether Musk can juggle running Tesla alongside his government duties.
Gerber didn’t hold back:
“It’s time for somebody to run Tesla. The business has been neglected for too long.”
He added that Musk should either return full-time to Tesla or step aside and let someone else take over.
Tesla’s Value Plummets
Tesla’s problems have been mounting for a while. Its market value has plunged by over $800 billion since December. On Tuesday alone, it dropped another 4% in US trading.
Gerber admitted he’s sold off a substantial number of Tesla shares in recent months — and he’s not the only one.
Sliding Sales and Tough Competition
Demand for electric cars has peaked in key Western markets, despite Tesla slashing prices to attract buyers.
Meanwhile, cheap Chinese competition is eating into Tesla’s market share. Add the potential for higher costs from Trump’s trade war, and it’s no wonder investors are nervous.
Musk’s Social Media Drama Isn’t Helping
Gerber also blamed Musk’s behaviour on X (formerly Twitter) for damaging Tesla’s reputation.
“The company’s reputation has been destroyed by Elon Musk,” he said.
“Sales are plummeting — you literally can’t sell the best product in the marketplace because the CEO is so divisive.”
Gerber believes Tesla’s products are still the best out there — but Musk’s political involvement and controversial social media presence are driving customers away.
What’s Next for Tesla?
Gerber’s message to Musk is clear:
Either commit to Tesla or step down.
With Tesla’s value in freefall and consumer trust waning, the company might not survive much longer without a full-time, focused leader at the helm.
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