Tesla Board Initiates Search for New CEO to Replace Elon Musk
According to the Wall Street Journal, the Tesla board officially started the search for a new CEO about a month ago and has contacted multiple executive recruitment firms to evaluate successor candidates. Sources indicate that current CEO Elon Musk's reduced involvement in company management due to his commitment to the Trump administration has raised concerns within the board. Although Musk pledged last week to return to focus on Tesla, the clarity of the succession plan remains uncertain.
Challenges in the Electric Vehicle Market
Tesla is facing multiple challenges, with Q1 2025 revenue at $19.3 billion, a 9% decline year-over-year. Net income dropped dramatically from $1.4 billion last year to $409 million, plunging 71%. This marks the first annual decline in electric vehicle sales, sparking investor concerns.
