A former Tesla manager has issued a stark warning about the company’s future, describing it as “absolutely hosed” under the current leadership of President Elon Musk, citing plummeting sales, distracted management, and eroding investor confidence.
At a Glance
- Former Tesla GM Matthew LaBrot predicted a steep decline in sales, worse than Q1.
- LaBrot claims Musk’s divided focus has left Tesla without strategic direction.
- Tesla shares have dropped over 70% since Musk assumed key government roles.
- Investors petitioned for Musk to commit 40 hours weekly to Tesla.
- Activists and analysts call for new operational leadership akin to Apple’s Tim Cook.
Dire Warning From the Inside
Matthew LaBrot, who spent five years at Tesla, told Men’s Journal the company is “absolutely hosed” and heading for major trouble. In a follow-up interview published on Hard Reset, LaBrot explained that he founded “Tesla Employees Against Elon” before being dismissed. He blames Tesla’s stagnation on Musk’s political distractions and misaligned priorities.
India Times reports LaBrot’s critiques align with broader employee frustration over delayed vehicle rollouts and declining performance.
Divided Focus, Fractured Strategy
Musk’s attention is split among multiple ventures, including X (formerly Twitter), SpaceX, and his government role as Director of the Department of Government Efficiency. A group of investors has formally requested that Musk commit at least 40 hours per week to Tesla and that the board install independent directors to oversee a leadership succession plan.
Activists have also launched the “Tesla Takedown,” a coordinated campaign to pressure institutional investors to divest from Tesla and boycott the company. As outlined in Wired’s coverage, over 200 protest actions have taken place globally in response to Musk’s politics and Tesla’s perceived corporate drift.
Calls for a New Kind of Leader
Industry observers increasingly suggest Tesla may require a stabilizing executive—someone akin to Apple’s Tim Cook—to manage operations while Musk continues in a visionary role. A recent Business Insider analysis argues that while Musk remains indispensable for innovation, the company’s manufacturing, delivery, and quality control issues demand hands-on leadership.
With Tesla facing internal dissent, slipping market share, and external protest, its future may rest on how—and if—Musk decides to recalibrate his involvement.
What began as a singular vision is now being tested by global scrutiny, internal revolt, and shareholder rebellion. Whether Tesla stabilizes or unravels may depend on whether its visionary CEO can become an engaged operator—or hand over the reins.
