Tesla may be circling the drain...
- Thread starter F4Gary
- Start date
The skills needed to run a company are different than starting. He likely thinks he can do everything.
Tesla has gotten a lot farther than 99.9% of startups, so it's not like Musk has no business savvy. My guess is that he let his ego get in the way and he got in over his head.
Some of these guys, like Musk and Zuck, are perhaps more useful to their companies in Chief Innovation Officer roles rather than CEO.
It's rare that someone can both be the best person to start a company, innovate and take it to scale, and then be it's best steward as a publicly traded entity.
It's rare that someone can both be the best person to start a company, innovate and take it to scale, and then be it's best steward as a publicly traded entity.
Yep most guys that smart just can't come to terms with limitations. They are often the smartness guy in the room about many things and can't realize that there are just some things they don't know or aren't good at. I hope many of Musk's ideas work they will benefit society; but he would do well to focus on what he is good at and let others handle the day to day stuff.
Link
“Jeff Klein, a publishing executive in Southern California, said his wife’s Model S was damaged in a March accident. The car is still waiting for parts, while Klein makes monthly payments on the lease.
“The general manager said it could take several months, that Tesla didn’t seem to realize that their cars might get in accidents, and they had no parts inventory,” Klein said. “Their parts are made to order, just like their cars.””
“Jeff Klein, a publishing executive in Southern California, said his wife’s Model S was damaged in a March accident. The car is still waiting for parts, while Klein makes monthly payments on the lease.
“The general manager said it could take several months, that Tesla didn’t seem to realize that their cars might get in accidents, and they had no parts inventory,” Klein said. “Their parts are made to order, just like their cars.””
Take that car to Cuba and they'll have it up and running in no time.
If you can source the parts this guy can actually help.
Watched it last weekend. Interesting how this aspect is still kind of an afterthought with these cars.
Accords are near the top of the stolen vehicle list because of the huge market for parts. I wonder if the same will happen to Tesla?
Read an article about him a few years ago. Pretty interesting but it isn't exclusive to Tesla, many of the manufactures are trying to get away from independent repair, the companies make a LOT of money (or lose the opportunity) by having people fix or 3rd party repair companies. Interesting the gap in the approach for Tesla repair tho. Bet they have parts just no legit method of doing the work.
Apparently Musk is now saying he might take TSLA private.
Trading of its stock has been suspended after jumping 7% today.
Trading of its stock has been suspended after jumping 7% today.
My wife and daughter are NYC touring Pace and NYU they went to a Tesla dealership the other day and face timed my son from the car in the dealership. That is pretty cool and I don't know what they told the dealership but we have no intention of buying a Tesla. I would post a pic but to many perves on this board.
The rangernole ladies out and about in NYC, interesting... Why is it the first time we're hearing about this?
I do have to admit that I am a sucker for curves in the right places, a great set of headlights and a nice trunk. You are probably right, posting a pic of the Tesla might get me all revved up.
There were a few minutes of chaos. At first, it wasn't clear whether this tweet was sent from a hacker, from Elon himself, or from a very sarcastic Elon (420 is, after all, an infamous number...and he's joked about bankruptcy before).
But as it became clear he could be serious about taking Tesla private (his follow-up tweetssuggested as much, though a final decision hasn't been made), a few things happened:
Shares rose more than 8% before trading was temporarily halted (they closed up nearly 11%).
Questions were asked:
- Is this...kosher? Legally? Well, in 2013 the SEC said companies can disseminate info on social media "so long as investors have been alerted."
- Did he really "secure" funding? At $82 billion including debt, this would be by far the largest leveraged buyout in history. Musk owns ~20% of the company, so he'd have to secure more than $50 billion to complete the deal.
Sure, we'll never know what's really going on in there, but Musk did release a memo explaining his reasoning:
- Eliminating distractions: "As a public company, we are subject to wild swings in our stock price that can be a major distraction for everyone working at Tesla..."
- Breaking free from short sellers: "As the most shorted stock in the history of the stock market, being public means that there are large numbers of people who have the incentive to attack the company."
- Executing a long-term mission: "SpaceX is a perfect example: it is far more operationally efficient, and that is largely due to the fact that it is privately held."
- Bottom line: "I'm trying to accomplish an outcome where Tesla can operate at its best, free from as much distraction and short-term thinking as possible."
This would be the world's record for largest ball taken home.
There were a few minutes of chaos. At first, it wasn't clear whether this tweet was sent from a hacker, from Elon himself, or from a very sarcastic Elon (420 is, after all, an infamous number...and he's joked about bankruptcy before).
But as it became clear he could be serious about taking Tesla private (his follow-up tweetssuggested as much, though a final decision hasn't been made), a few things happened:
Shares rose more than 8% before trading was temporarily halted (they closed up nearly 11%).
Questions were asked:
- Is this...kosher? Legally? Well, in 2013 the SEC said companies can disseminate info on social media "so long as investors have been alerted."
Step inside the mind of Elon
- Did he really "secure" funding? At $82 billion including debt, this would be by far the largest leveraged buyout in history. Musk owns ~20% of the company, so he'd have to secure more than $50 billion to complete the deal.
Sure, we'll never know what's really going on in there, but Musk did release a memo explaining his reasoning:
- Eliminating distractions: "As a public company, we are subject to wild swings in our stock price that can be a major distraction for everyone working at Tesla..."
- Breaking free from short sellers: "As the most shorted stock in the history of the stock market, being public means that there are large numbers of people who have the incentive to attack the company."
- Executing a long-term mission: "SpaceX is a perfect example: it is far more operationally efficient, and that is largely due to the fact that it is privately held."
- Bottom line: "I'm trying to accomplish an outcome where Tesla can operate at its best, free from as much distraction and short-term thinking as possible."
Musk's personality doesn't help the company much, even the way this news broke, but I do understand the desire and strategy to take it private.
He's much more well suited to be CEO of a private than a public.
I still want to see Tesla succeed, the American automotive industry, or what remains of it, needs this win.
He's much more well suited to be CEO of a private than a public.
I still want to see Tesla succeed, the American automotive industry, or what remains of it, needs this win.
"Three days into the Tesla "going private" saga, everyone continues to scramble for more information on the biggest wildcard in the entire equation: the "committed funding" as represented by Elon Musk: shareholders are asking where it is; bankers - i.e., those who should have arranged it - are asking where it is; even the SEC is asking where it is (and probing if Musk was being "truthful" with the alternative being stock manipulation which opens up Tesla to fraud lawsuits), and now Reuters reports that even the Tesla Board of Directors wants to know where it is.
According to Reuters, Tesla's board of directors is seeking more information from CEO Elon Musk about the finance for his plan to take the U.S. electric car maker private.
And here is the punchline: While Tesla's board has held multiple discussions about the proposal - as it documented in its statement on Wednesday - it has "not yet received a detailed financing plan from Musk and specific information on who will provide the funding."
As a reminder, in a statement on Wednesday, Tesla's board said its discussion with Musk "addressed the funding" for the deal, without offering more details. And now we know why: because it had none, and one increasingly wonders if the Board simply made up the fact that it had multiple discussions just to cover Musk's back."
According to Reuters, Tesla's board of directors is seeking more information from CEO Elon Musk about the finance for his plan to take the U.S. electric car maker private.
And here is the punchline: While Tesla's board has held multiple discussions about the proposal - as it documented in its statement on Wednesday - it has "not yet received a detailed financing plan from Musk and specific information on who will provide the funding."
As a reminder, in a statement on Wednesday, Tesla's board said its discussion with Musk "addressed the funding" for the deal, without offering more details. And now we know why: because it had none, and one increasingly wonders if the Board simply made up the fact that it had multiple discussions just to cover Musk's back."
“Following last night's tweet by Elon Musk that Tesla is working with "Silver Lake and Goldman Sachs as financial advisors, plus Wachtell, Lipton, Rosen & Katz and Munger, Tolles & Olson as legal advisors, on the proposal to take Tesla private", even though Silver Lake subsequently denied it had been officially retainer, moments ago the Tesla board of directors announced it had formed a special committee comprised of three independent directors to evaluate a potential going private offer - assuming there is one - disclosed by Elon Musk.
The special committee is composed of Brad Buss, Robyn Denholm and Linda Johnson Rice; here Brad Buss is an off choice for an "independent" director as he was CFO of SolarCity which was about to become insolvent before Elon Musk bailed it out with a last minute acquisition.
While the language was generally boilerplate, a very notable highlight is that the "special committee has not yet received a formal proposal from Mr. Musk regarding any Going Private Transaction nor has it reached any conclusion as to the advisability or feasibility of such a transaction."
Which remains a major oddity in light of the "funding secured" tweet.”
The special committee is composed of Brad Buss, Robyn Denholm and Linda Johnson Rice; here Brad Buss is an off choice for an "independent" director as he was CFO of SolarCity which was about to become insolvent before Elon Musk bailed it out with a last minute acquisition.
While the language was generally boilerplate, a very notable highlight is that the "special committee has not yet received a formal proposal from Mr. Musk regarding any Going Private Transaction nor has it reached any conclusion as to the advisability or feasibility of such a transaction."
Which remains a major oddity in light of the "funding secured" tweet.”
If I were the leader of an organization (or say a country), I'd avoid tweeting breaking news or innuendo. Perhaps that's why I'm neither CEO nor head of state.
Seriously, the deterioration in how leadership conducts itself (Musk, Dorsey, Kalanick, Zuck, plus any number of energy and finance CEOs) is unsettling and destabilizing for the market. Lots of god complexes out there.
Seriously, the deterioration in how leadership conducts itself (Musk, Dorsey, Kalanick, Zuck, plus any number of energy and finance CEOs) is unsettling and destabilizing for the market. Lots of god complexes out there.
One big problem is nobody can keep their freaking mouths shut about anything. We are a nation of over sharers.
Yep. Gotta get out in front, even though the trailer behind doesn’t even have a license tag yet, much less a secured load.
That fifteen minutes of fame thing is very alluring...
“ a Twitter user reminded Musk about the time he accused Vernon Unsworth, a British rescue diver working to rescue the trapped Thai soccer team, of being a pedophile. (Musk first lobbed the unfounded accusations in July, then apologized for them and deleted those tweets.)
But on Tuesday, he inexplicably returned to that argument.
"You don't think it's strange he hasn't sued me?" Musk tweeted, referring to the diver.
"Did you investigate [the accusations] at all?" Musk later tweeted. "I'm guessing answer is no. Why?"
Some hours later, Unsworth's lawyer replied to the tweet with a picture of a letter sent to Musk informing him he would be sued for libel.”
But on Tuesday, he inexplicably returned to that argument.
"You don't think it's strange he hasn't sued me?" Musk tweeted, referring to the diver.
"Did you investigate [the accusations] at all?" Musk later tweeted. "I'm guessing answer is no. Why?"
Some hours later, Unsworth's lawyer replied to the tweet with a picture of a letter sent to Musk informing him he would be sued for libel.”
“Just hours after Elon Musk appeared on a comedy podcast, where he smoked pot, demonstrated his flamethrower and mused philosophically, Tesla's chief accounting officer unexpectedly gave notice he’s resigning just one month into the job, citing the level of scrutiny on the electric-car maker.
"Since I joined Tesla on August 6th, the level of public attention placed on the company, as well as the pace within the company, have exceeded my expectations," Dave Morton, former CFO for hard-drive maker Seagate Technology said in a Tesla regulatory filing.
"This caused me to reconsider my future. I want to be clear that I believe strongly in Tesla, its mission, and its future prospects, and I have no disagreements with Tesla’s leadership or its financial reporting."
Tesla shares plunged as much as 5.7 percent to $265 before the start of regular trading, and is now just shy of the 2018 lows of $252 hit in early April.”
Tesla stock was $300 the day this thread started.
"Since I joined Tesla on August 6th, the level of public attention placed on the company, as well as the pace within the company, have exceeded my expectations," Dave Morton, former CFO for hard-drive maker Seagate Technology said in a Tesla regulatory filing.
"This caused me to reconsider my future. I want to be clear that I believe strongly in Tesla, its mission, and its future prospects, and I have no disagreements with Tesla’s leadership or its financial reporting."
Tesla shares plunged as much as 5.7 percent to $265 before the start of regular trading, and is now just shy of the 2018 lows of $252 hit in early April.”
Tesla stock was $300 the day this thread started.
Musk's behavior continues to hinder his company.
He's got to be able to harness his out of the box thinking without letting it drive him (or his shareholders) crazy. Dude is on the verge of a legit mental breakdown.
He's got to be able to harness his out of the box thinking without letting it drive him (or his shareholders) crazy. Dude is on the verge of a legit mental breakdown.
“Just hours after Elon Musk appeared on a comedy podcast, where he smoked pot, demonstrated his flamethrower and mused philosophically, Tesla's chief accounting officer unexpectedly gave notice he’s resigning just one month into the job, citing the level of scrutiny on the electric-car maker.
"Since I joined Tesla on August 6th, the level of public attention placed on the company, as well as the pace within the company, have exceeded my expectations," Dave Morton, former CFO for hard-drive maker Seagate Technology said in a Tesla regulatory filing.
"This caused me to reconsider my future. I want to be clear that I believe strongly in Tesla, its mission, and its future prospects, and I have no disagreements with Tesla’s leadership or its financial reporting."
Tesla shares plunged as much as 5.7 percent to $265 before the start of regular trading, and is now just shy of the 2018 lows of $252 hit in early April.”
Tesla stock was $300 the day this thread started.
Read your post, my first thought was "It has to be the JRE." Sure enough. Such a bad look in this day with all the current negative news.
Dude is like the Jameis Winston of CEOs, prodigious and frustrating. Can't get out of his own way sometimes.
I'm shocked that they haven't already.
The TC would have ousted him years ago.
Crazy to think you could have such a large organization run by such an unstable, erratic, authoritarian-minded leader who is so clueless about the ramifications of his reckless words and deeds.
Just crazy.
Just crazy.
Hahaha. But is it tho? Apparently 1 in 5 are psychopaths.
https://www.telegraph.co.uk/news/2016/09/13/1-in-5-ceos-are-psychopaths-australian-study-finds/
Sounds like they're looking for him to never be allowed to serve as a CEO or Director again. The SEC seems...displeased.
