If Elon Musk is no longer the richest man in the world, it is because of the decline in the value of his Tesla shares. And if the electric car brand’s action is down, it’s because since Musk took the reins at Twitter, it appears to be too busy managing the social network to the detriment of its other businesses, including You’re here. But for the company, unfortunately, it must not only be about the investors’ concern.
It is possible that Elon Musk’s handling of Twitter, as well as his many controversies, will also affect electric car sales at Tesla. At least this is what is suggested by an article recently published by our colleagues from Cnet, which indicates that Tesla customers have decided to cancel their pre-orders or to terminate their leases due to Elon Musk’s behavior.
Are you less proud to drive a Tesla today?
The article cites two testimonies from two people who allegedly gave up driving a Tesla vehicle. These two people called the company to cancel the pre-order or end the lease, citing Elon Musk’s toxic behavior to justify the decision. In both cases, the salesperson on the phone would have indicated that he “hears it a lot”. Which suggests that these are not isolated cases.
— Roger Cheng (@RogerWCheng) 19 December 2022
As for people who have already bought a vehicle from the brand, it is possible that some of them are now embarrassed. This is stated in an article by journalist Anne Marie Squeo (Pulitzer Prize), in an article published by Fast Compagny. After buying a Model Y in 2020, she says she’s currently embarrassed to drive a Tesla.
“Many of us were proud to be part of a progressive group that pioneered a whole new automotive industry, moving beyond a century-old framework to one that puts consumers in control”, explains the journalist. Today, Elon Musk is said to cause fire damage. According to Anne Marie Squeo, right after acquiring Twitter, Musk began to push “conspiracy theories, espouse Putin’s language, post pictures of guns by his bed”.
Of course, part of the public supports Elon Musk in this process. But the problem, according to the journalist, is that these people do not buy Tesla because they would be people attached to thermal cars, and some would not even believe in the existence of climate change.
Will sales be affected?
At the moment, it is difficult to know whether this theory holds water. And we can certainly get a better idea of Elon Musk’s influence on Tesla’s sales when the next quarterly results are presented. But in any case, it should be noted that this is also a source of concern among some investors.
“Where electric car buyers used to be proud to show off their Teslas to their friends or display Teslas in front of their homes, the Twitter controversy is hurting the value of the Tesla brand”Gary Black, a hedge fund manager with $50 million in Tesla stock, recently reported.
It is still unknown whether Elon Musk will actually step down as CEO of Twitter. In any case, if he’s looking for a replacement, candidates have already emerged: Tom from MySpace…
—Tom Anderson (@myspacetom) 21 December 2022
and… Snoop Dogg!
Should I run Twitter?
—Snoop Dogg (@SnoopDogg) 19 December 2022