• Plenty of problems for Elon Musk at Twitter
• Investors fear too much distraction for the Tesla CEO
• Musk remains confident
The Twitter takeover by Elon Musk is causing plenty of negative headlines: for example, the dismissal of 50 percent of the workforce or the verification plans on Twitter. Musk recently stated that he will “work and sleep” at Twitter’s San Francisco headquarters until the “organization is fixed.”
Tesla investors concerned
However, among Tesla investors there is growing concern that the jack-of-all-trades is getting too bogged down. Because with SpaceX, Neuralink or The Boring Company, which Musk also takes care of, in her opinion there are already plenty of distractions for the billionaire. For example, court documents recently revealed that Chairman Robyn Denholm complained as early as 2018 that the “minimum time” that Elon Musk spent at Tesla was becoming “increasingly problematic”.
With Twitter, investors now fear that Musk has finally taken on too much at a time when Tesla is facing major challenges, particularly increasing competition from China. “Tesla investors are becoming increasingly frustrated,” Reuters news agency quoted Gene Munster, a managing partner at venture capital firm Loup Ventures. “He’s probably going to spend more time on Twitter than any Tesla investor would want.” Munster himself believes Twitter will require Musk’s attention over the next six to 12 months.
Dan Ives, who has long been a staunch Tesla bull, has also been critical of the Twitter deal. On the one hand, Elon Musk sold his Tesla shares worth a total of almost 20 billion US dollars in several tranches this year in order to finance the Twitter takeover. This caused the Tesla share price to plummet. On the other hand, the analyst at the investment company Wedbush is concerned that the numerous negative headlines could also cast a bad light on Tesla and damage the image of the car company. According to the latest media reports, he spoke of a “circus” and an “absolute debacle” that had to stop. In Ives’ opinion, Musk should focus on his “golden child” Tesla rather than on Twitter.
According to Reuters, even Tesla investor Ross Gerber, a strong supporter of Musk, recently took the view that Tesla should look for a suitable deputy for its CEO. “I think he [Elon Musk; Anmerkung der Redaktion] has finally reached the point where he really challenges himself. I think they have to find the right person. And frankly, they just don’t have that person.”
Musk appeased
Elon Musk tries to calm things down, but also admits that his workload has increased significantly since the Twitter takeover: “I have too much work,” he admitted during a video transmission at a conference in Indonesia. Nevertheless, he assured in a tweet: “I have Tesla covered too”.
I have Tesla covered too. Will be there part of this week.
– Elon Musk (@elonmusk) November 14, 2022
“Once Twitter gets on the right track, I think it will be a lot easier to manage than SpaceX or Tesla,” said Elon Musk confidently during the Baron Investment conference in New York City.
Editorial office finanzen.net
Leverage must be between 2 and 20
No data
More news about Tesla
Image Credits: Joe Scarnici/WireImage/Getty Images, john smith williams / Shutterstock.com