New Delhi— Tesla Chair Robyn Denholm on Thursday strongly denied a report claiming the company’s board was planning to replace Elon Musk as CEO.
The Wall Street Journal reported that Tesla’s board had begun considering a CEO search amid falling sales and profits, and growing concern over Musk’s focus on other ventures, including ties to former President Donald Trump. The report also suggested the board had urged Musk to dedicate more time to Tesla.
Denholm dismissed the claims on X (formerly Twitter), writing, “This is absolutely false (and this was communicated to the media before the report was published). The CEO of Tesla is Elon Musk, and the Board is highly confident in his ability to execute our growth plan.”
Musk also responded, calling the WSJ “a discredit to journalism.”
The report marked a notable shift in tone, as Tesla’s board has historically been seen as highly deferential to Musk. However, Musk stated during last week’s Q1 earnings call that he would be refocusing more time on Tesla, news that helped boost the company’s stock.
Tesla reported a 9% year-over-year revenue decline in Q1, falling to $19.34 billion, with automotive revenue down 20% and net income dropping 71% to $409 million. The company attributed part of the downturn to production line upgrades for a refreshed Model Y.
Tesla has not issued guidance for 2024 growth and said it will revisit its 2025 outlook in its next quarterly update. (Source: IANS)
