Elon Musk Faces Calls to Step Down as Tesla CEO Amid $800 Billion Stock Plunge

In a dramatic turn of events, Ross Gerber, one of Tesla’s most prominent investors, has called for Elon Musk to resign as CEO following an unprecedented stock market collapse.

Tesla’s market value has plummeted by a staggering $800 billion, sending shockwaves through the financial world and prompting concerns about the future of the electric vehicle (EV) giant.

Mounting Concerns Over Musk’s Leadership

Gerber’s demand for Musk’s resignation underscores growing unease about Tesla’s direction under its high-profile leader.

Investors and analysts alike are questioning whether Musk’s leadership is still beneficial for the company, particularly as Tesla’s once-dominant market position continues to erode.

Tesla’s stock, long a favorite among Wall Street investors, has seen a sharp decline in recent months.

While the EV sector has always been prone to volatility, the recent plunge is being attributed to several factors, many of which are linked to Musk’s personal and business decisions.

From controversial political endorsements to erratic shifts in company focus, Musk’s leadership has increasingly come under scrutiny.

Political Controversy and Investor Backlash

A pivotal moment in Tesla’s decline came when Musk publicly aligned himself with former U.S. President Donald Trump.

Musk’s political endorsements and his decision to join Trump’s advisory council alienated key supporters, particularly among Tesla’s environmentally conscious customer base and progressive investors.

This political involvement sparked protests and boycotts, further damaging Tesla’s public image.

Demonstrations erupted in major cities across the U.S. and Europe, with activists demanding Musk’s resignation.

These protests, coupled with discontent among Tesla employees, fueled further instability, making investors nervous about the company’s long-term prospects.

Distraction from Tesla’s Core Business

Beyond politics, Musk’s increasing focus on cryptocurrency, particularly Dogecoin, has raised red flags.

His public endorsements of Dogecoin led to dramatic fluctuations in the cryptocurrency’s value but also raised questions about whether he was neglecting Tesla’s core business.

Insiders have expressed frustration, suggesting that Musk’s preoccupation with social media antics and personal ventures is detracting from Tesla’s ability to innovate and compete in the rapidly growing EV market.

Meanwhile, Tesla’s competitors—such as Rivian, Lucid Motors, and traditional automakers ramping up their EV efforts—have gained traction. As Tesla struggles to maintain its edge, concerns about Musk’s divided attention have only intensified.

Declining Innovation and Leadership Gaps

Another major issue contributing to Tesla’s stock decline is Musk’s growing absence from the company’s day-to-day operations. With his attention split between Tesla, SpaceX, Neuralink, and his political activism, Tesla’s once-thriving innovation pipeline has slowed.

Product delays, supply chain issues, and a lack of clear strategic direction have fueled uncertainty within the company and among investors.

Sources within Tesla report that internal morale has suffered, with key executives considering leaving due to Musk’s lack of engagement. The instability at the executive level has compounded concerns about Tesla’s future, further exacerbating the stock’s downward trajectory.

Ross Gerber’s Call for Change

Ross Gerber, a major Tesla shareholder, has become one of the most vocal critics of Musk’s recent behavior. In a public statement, he expressed frustration over Tesla’s declining stock value and the lack of leadership focus:

“Elon Musk has been an incredible visionary and leader, but the time has come for Tesla to have a CEO who can focus fully on the company and its future. Tesla needs a leader who can steer the company with a steady hand and a long-term strategy, not someone distracted by politics and personal ventures. We need stability, and that requires a leadership change.”

Gerber’s remarks have ignited debate among investors and industry experts. While some agree that Tesla needs new leadership, others argue that Musk’s ability to drive innovation remains unparalleled. The question now is whether Musk can re-center his focus on Tesla or if it is indeed time for him to step aside.

The Uncertain Road Ahead

Tesla stands at a crossroads. While Musk has played a pivotal role in the company’s rise to prominence, his recent actions have raised serious concerns about his ability to lead effectively. As pressure mounts from investors, employees, and consumers, Tesla must decide whether its long-term success depends on new leadership.

If Tesla fails to stabilize in the coming months, it risks losing its position as the dominant player in the EV market. With investor confidence dwindling and competitors closing in, the company faces one of its most significant challenges yet.

The world will be watching closely to see how Tesla navigates this crisis. Whether Musk remains at the helm or a new leader takes charge, one thing is certain—Tesla’s future is hanging in the balance.