Elon Musk’s Tesla Throne in Jeopardy as Board Seeks New CEO

Tesla’s board is reportedly shopping for a new CEO behind Elon Musk’s back—and it’s not because the stock is crashing. It’s because Musk may be spending too much time in Washington, not Silicon Valley.

According to a new Wall Street Journal report, Tesla directors began quietly contacting executive search firms over a month ago to find a possible successor to Musk. While the electric vehicle pioneer has long been the face (and driver) of Tesla’s innovation machine, his growing entanglement with the current administration—leading the so-called Department of Government Efficiency (DOGE)—has alarmed investors and sparked internal concerns.

Musk recently promised to reduce his time spent with the federal government and recommit to Tesla. But sources say the board, which includes Musk’s brother Kimbal and Rupert Murdoch’s son James, isn’t convinced that’s enough. Sales of Tesla’s aging vehicle lineup are slumping, competitors are catching up, and Musk seems more focused on rolling out humanoid robots than affordable electric vehicles.

Related: Elon Musk's Cybertruck Gets More Bad News

Meanwhile, vandalism at Tesla showrooms and charging stations across the U.S. and Europe has surged as backlash grows against Musk’s alignment with far-right politics in Europe and America.

Board members reportedly asked Musk to reaffirm his Tesla commitment publicly, but it remains unclear if he knows about the CEO succession planning—or if he’s even willing to step aside. Tesla and Musk declined to comment.

The board’s internal politics also face scrutiny. Critics argue that Chair Robyn Denholm, hand-picked by Musk and defending his massive pay package, isn’t truly independent. Investor activists have long accused the board of enabling rather than overseeing Musk’s erratic behavior.

Related: Cybertruck's Future in Jeopardy After Elon Musk's Tesla Announcement

Tesla is approaching a defining moment. It’s no longer just an electric car company. It’s betting big on AI, autonomous taxis, and humanoid robots. But with Elon Musk increasingly entangled in politics and spread thin across his empire, the company’s direction feels uncertain. Whether the board can refocus Tesla’s vision—or whether Musk’s distractions have already pushed it off course—could determine the future of one of the world’s most valuable tech brands.