Tesla investors are beginning to get increasingly concerned that Elon Musk’s concentrate on Twitter is taking him away from the automaker as its stock is falling.
The CEO tried to reassure shareholders saying that he has “Tesla covered,” but he also said that he’s sleeping at Twitter’s headquarters “until the social media is fixed.”
It isn’t hypothetical that Musk’s acquisition of Twitter is negatively affecting Tesla.
The CEO needed to sell billions of dollars price of Tesla stocks to secure the transaction, which contributed to a big decline in Tesla’s market capitalization.
Tesla has lost more in value since Musk’s acquisition of Twitter than the full value of the $44 billion acquisition.
Musk has even announced that Tesla will initiate a stock buyback program, pending board approval, to assist boost the stock price.
Beyond Musk selling Tesla stocks, fans and investors are also concerned concerning the CEO spending less time on the automaker as he tries to implement his vision at Twitter.
One among those fans complained to Musk on Twitter, and the CEO responded that he has “Tesla covered too” and he’ll at Tesla “a part of this week”:
Nevertheless, Musk also said that he could be sleeping at Twitter’s headquarters in San Francisco “until the org is fixed”:
I’ve been at Twitter SF HQ all night. Can be working & sleeping here until org is fixed.
The CEO has been known to spend a number of time at his corporations once they are facing challenges, including sleeping on Tesla’s factory floor when ramping up Model 3 production.
With Musk running Tesla, SpaceX, the Boring Company, and Neuralink, investors were already fearful about him spreading himself too thin.
Now that he’s adding Twitter into the combo, the priority is greater than fair – especially for Tesla shareholders because it’s a particularly large public company.
There have been talks before about replacing Musk as CEO of Tesla to have someone who can focus entirely on Tesla and have Musk focus more on his “product architect” role.
For the sake of Tesla’s mission, it is perhaps price revisiting that option. What do you think that? Tell us within the comments section below.