Elon Musk Responds to Report Tesla Board Wants to Replace Him as CEO 

Elon Musk has responded to a report from The Wall Street Journal that the Tesla board was seeking to replace him as CEO, calling it a "deliberately false article."

Why It Matters

Musk is the world's richest man with an estimated fortune of $342 billion according to Forbes. He has become a close political ally of U.S. President Donald Trump, who chose the tech tycoon to head up the newly created Department of Government Efficiency (DOGE) after his inauguration in January.

DOGE has overseen significant cuts to federal employment and is attempting to close down the U.S. Agency for International Development meaning a change in his focus could have a significant impact on government policy.

What To Know

In a post on X, formerly Twitter, Musk wrote: "It is an EXTREMELY BAD BREACH OF ETHICS that the Wall Street Journal would publish a DELIBERATELY FALSE ARTICLE and fail to include an unequivocal denial beforehand by the Tesla board of directors!"

On Wednesday, the newspaper published an article claiming several Tesla investors and board members "got serious about looking for Musk's successor" in late March as controversy swirled around his role within President Donald Trump's administration.

The publication said a number of Tesla's eight-strong board had contacted several executive search firms to discuss working on the formal process to select a new CEO.

Citing "people familiar with the discussions," the WSJ did not name its sources or the company it said the board settled on to search for a new CEO. It also said that Musk did not respond to requests for comment.

Newsweek contacted Tesla and The Wall Street Journal for comment on Thursday outside of regular office hours.

In January, Trump appointed Musk to head up the newly created Department of Government Efficiency (DOGE), with a target of slashing what they regarded as excess government spending.

Musk's close association with Trump sparked demonstrations against Tesla in a number of states and campaigns outside the U.S. to boycott his cars. On April 22, Tesla announced its first quarter profit missed projections by more than 70 percent, falling $566 million short of expectations.

Musk has been subsequently widely reported as saying he would start allocating much more of his time to Tesla from May.

But speaking to Musk during a cabinet meeting on Wednesday, Trump said: "You know you're invited to stay as long as you want... I guess he wants to get back home to his cars."

In April, Musk clashed repeatedly with White House trade adviser Peter Navarro over the administration's introduction of sweeping new tariffs, branding him a "moron" on social media.

Trump imposed tariffs of 145 percent on many imports from China, the White House claiming that the total tariff on some goods was 245 percent. Beijing retaliated with 125 percent tariffs of its own on goods from the U.S. Tesla has major business interests in both the U.S. and China.

What People Are Saying

In a statement posted on X on Wednesday Tesla chair Robyn Denholm said: "Earlier today, there was a media report erroneously claiming that the Tesla Board had contacted recruitment firms to initiate a CEO search at the company.

"This is absolutely false (and this was communicated to the media before the report was published).

"The CEO of Tesla is Elon Musk and the Board is highly confident in his ability to continue executing on the exciting growth plan ahead."

Mike Bird, the Economist's Wall Street editor, shared the Wall Street Journal article about Musk on X adding simply: "Woof."

What Happens Next

If Musk responds to pressure by focusing on his companies rather than work with DOGE it could neuter one of the Trump administration's most radical branches and reduce pressure for additional cuts to federal government spending.