Former Tesla President Jon McNeill has addressed concerns from Tesla investors regarding Elon Musk’s management of Tesla.
Perhaps no CEO in the automotive industry is as shrouded in controversy as Elon Musk. Due to his notoriety, general popularity, and knack for implementing “out of the box” solutions, the CEO has landed in hot water, most recently with investors in his company. Now, those concerns have been addressed by a previous Tesla President on a segment of Squawk Box on CNBC.
Sawyer Merrit first reported the CNBC interview on Twitter, highlighting the segment where the ex-Tesla executive addressed investor concerns. Specifically, the ex-President addresses concerns from a recent open letter signed by many notable Tesla shareholders.
Former @Tesla President @jonmcneill on @elonmusk: “I don’t think he’s that distracted from the business; He’s always had a lot going on, but he’s incredible at staying involved on the key topics.”pic.twitter.com/iYxkKr1zL3
— Sawyer Merritt (@SawyerMerritt) April 29, 2023
Most prominently, many investors allege Elon Musk is not spending adequate time at the helm of his EV-making venture, instead working on projects at Twitter and SpaceX. McNeill’s response was straightforward, not only is Musk spending plenty of time at the business, but as evidenced by his answers on the recent earnings call, Musk is still very well versed in the actions and plans of Tesla. Moreover, McNeill states that investors should focus on business performance, which in Tesla’s case, remains a positive aspect of the business.
The ex-Tesla president attributes Musk’s success to an ungodly work ethic and incredible dedication to time management.
Another critical concern, not brought up by investors but certainly brought up by Tesla customers, is delivering on promises, including the infamous Cybertruck and Full Self-Driving, which have been the most common recipients of this criticism. Here, McNeill was more critical of Elon Musk’s management. While Tesla has delivered key promises, these promises are often not fulfilled on time, which can be jarring for consumers and investors attempting to gauge the business’s actions.
The final concern, which has been brought up by investors and even notable U.S. politicians, is regarding talent sharing between Musk-owned businesses, including Tesla, Twitter, and SpaceX. Recently, criticism was spurred when Musk sent Tesla software engineers to Twitter following the acquisition of the social media company. Reacting to this, McNeill was more tight-lipped, noting that while great innovations can come from the talent-sharing system, it does have ethical risks.
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