Abdelrahman
This past weekend, Tesla experienced widespread protests at numerous locations throughout North America. With declining sales and board member resignations, it’s apparent that some insiders are starting to take note of the situation.
As highlighted last week, a grassroots initiative has emerged to coordinate protests against Elon Musk at Tesla dealerships across North America.
The demonstrations were largely successful, marked by mostly peaceful gatherings outside Tesla stores.
For instance, here’s a scene from a protest in front of Tesla’s Minneapolis location:
Similar protests unfolded at numerous Tesla outlets for hours, aimed at disrupting sales and opposing Musk’s political involvement.
One of the largest demonstrations took place at Tesla’s showroom in Manhattan:
While most protests remained lawful and peaceful, there were instances of vandalism, with slogans against fascism appearing on some Tesla stores.
Support groups, including Anonymous, indicated that this is merely the beginning and intend to maintain pressure on Tesla to influence Musk’s actions.
Previous reports noted that Tesla’s sales have seen a dramatic decline in Europe, where data is released monthly.
In the U.S., sales figures are reported later, making it challenging to evaluate how much the negative sentiment towards its CEO has impacted Tesla’s sales, but these protests are clearly unprecedented.
It’s worth noting that Tesla’s board of directors, which oversees the CEO, has remained silent during this turbulence, allowing Musk to act freely amid his management of X, xAI, SpaceX, Neuralink, the Boring Company, and DOGE.
Despite the board’s quiet stance, it appears that some employees are finally voicing their concerns.
The Washington Post obtained a recording from a recent staff meeting at Tesla where concerns about Musk’s leadership were openly discussed:
According to a recording acquired by The Washington Post, employees and senior managers at one Tesla division expressed worries that Musk is harming the company’s business and its sustainability mission.
Employees shared with the Post that there is a growing sentiment within the ranks about Musk “diminishing the brand.” One employee noted that senior management believes “the company would be in a better position if Musk stepped down.”
While some employees are beginning to voice their opinions internally, the report reveals that much of the dissent regarding Musk is discussed quietly among colleagues:
At Tesla, most conversations regarding discomfort with the CEO take place discreetly during lunch or in private communications, due to fears that the company may monitor staff for signs of disloyalty, one employee remarked to The Post.
Tesla frequently conducts layoffs, and Musk has been using these as an opportunity to consolidate power, retaining only those loyal to him among his top executives.
Electrek’s Perspective
Is there a rising tide of dissent against Elon Musk at Tesla? It’s difficult to ascertain. There’s concern that Musk has eliminated most opposition within the company.
The protests and the emergence of employee voices are positive developments, but ultimately, with the board aligned with Musk, significant changes may only come if the stock price falters enough to encourage shareholders to take action against the board.
I could see this scenario unfolding, especially if the upcoming quarter’s deliveries and earnings report disappoints. However, a broader market downturn could also lead to excuses for Tesla’s stock performance, attributing it to external factors beyond Musk’s control.
The next few months will certainly be intriguing.
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