[androdev]

This is an interesting phenomenon where a leader like Elon Musk or Donald Trump directly connect with their customers bypassing all the usual middle layers. This arrangement works great for the politicians but with companies it gets a lot trickier. It's great to benefit from the personal charisma but don't want the company to come crashing down if the individual messes it up.

I think Elon Musk went too far with this going private tweet. But I most certainly want him to continue as the face of all his projects. He is the only 'different' person out there in a sea of wallstreet-type CEOs.

[GutsyGibbon]

Originally Posted by androdev

This is an interesting phenomenon where a leader like Elon Musk or Donald Trump directly connect with their customers bypassing all the usual middle layers. This arrangement works great for the politicians but with companies it gets a lot trickier.

At a time when lawyers are being replaced by the cloud, and AI, people like Musk and Trump are good news for this profession. When these people tweet throwing their companies or their countries under the bus, lawyers and spokespersons need to get on overdrive.

The reason he picked the $420 number is even more ridiculous. This speaks to the culture in the valley where they break the law without batting an eyelid and let the market cap (and lawyers) figure out the fix. They have this feeling of invincibility. Looking at how rich they are getting, they may very well prove to be invincible. This was seen in Uber (breaking Taxi related laws), AirBnb (breaking rental property zoning laws), Bird/Limebike (breaking laws related to use of public spaces). Then there are companies like Theranos who were outright lying and making up stuff on the fly. I just hope my 401K exposure to such stock is limited.

I just read today that a WhatsApp forward wiped out 70% of Infibeam. Crazy times!

[volkman10]

Elon Musk settles SEC lawsuit, forced out as TESLA's Chairman but remains as its CEO. Fined at $ 20 million and more.

SEC statement:

- Musk will step down as Tesla’s Chairman and be replaced by an independent Chairman. Musk will be ineligible to be re-elected Chairman for three years.

- Tesla will appoint a total of two new independent directors to its board;

- Tesla will establish a new committee of independent directors and put in place additional controls and procedures to oversee Musk’s communications

- Musk and Tesla will each pay a separate $20 million penalty. The $40 million in penalties will be distributed to harmed investors under a court-approved process


Source+Full Article

[srishiva]

I like the American system where everything is taken care by paying some penalty. The solution to Musk's issue was known as soon as SEC filed the lawsuit !

Its really irresponsible for a CEO of the company to behave recklessly resulting in harm to the company (I care about Tesla more than investors). For a grown up person, to have people monitoring his communications (specifically twitter) is disgusting waste of time.

At the end of it, CEO is the important position and nothing seems to have been penalised. What is losing chairmanship and few million dollars worth and really do?

[Porcupine]

This might be a controversial opinion but I think there is a vast difference in being a genius innovator and sharp businessman. While Musk is the former, the concept of the latter just seems to evade him, given the string of childish incidents that happen especially through his twitter.

[nakul0888]

Maybe musk stepping down and spending some time away from Tesla is a good thing. Maybe Tesla could use less of his impractical but ingeniously wacky ideas and inputs and more Toyota style practical, sensible approach to things to make themselves proftable and on steady grounds. I mean whats better Tesla going out on a spectacular ball of fire under its eccentric genius CEO or toning it down a bit for now and save up for the future.

[Samurai]

Originally Posted by nakul0888

Maybe musk stepping down and spending some time away from Tesla is a good thing. Maybe Tesla could use less of his impractical but ingeniously wacky ideas and inputs...

How was Steve Jobs different? Jobs was fired for similar behavior (actually worse) and then they had to beg him to come back and save the company. And he did.

[Porcupine]

Originally Posted by Samurai

How was Steve Jobs different? Jobs was fired for similar behavior (actually worse) and then they had to beg him to come back and save the company. And he did.

Steve Jobs' ousting from Apple happened in an age where social media didn't really exist. We live in a world where news travels fast and some of Musk's outbursts have been nothing but scathing - like this entire ordeal with the SEC started because of his social media behaviour, in a futile attempt to 'scare' the investors against shorting his stock. And this isn't the first time he's done something to hurt his and/or Tesla's image. So while the comparison between Jobs and Musk is similar, the 'cost and effect' of their eccentricities is vastly different.

[volkman10]

Elon Musk Assumes New Role Of “Nothing Of Tesla”

Elon Musk, previously listed as the CEO of Tesla, has just announced via Twitter that he’s deleted that title and all other associated Tesla titles. He should now be referred to as the “Nothing of Tesla.”

Musk’s absence on Twitter over the weekend is likely connected to this title change, as it surely took a while for him to adjust to his new role.

Link

[volkman10]

Judge Rules Elon Musk Was Lying In "Taking Tesla Private" Tweets.

Musk may not be able to argue that the SEC "coerced" him, but he already made the claim publicly.

The judge also suggests Musk was aware of the issues the tweets would cause. A portion of the official filing reads via Reuters that Musk:

"has used his fame and notoriety to sway public opinion in his favor, waging battle in the press having been defeated in the courtroom."

Link