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January 16, 2024
Musk makes ultimatum in Telsa share battle

The Billionaire took to X to set out his stall for more voting control in Tesla.

Musk states that he would like a quarter of a say in the technology company’s future:

”I am uncomfortable growing Tesla to be a leader in AI & robotics without having ~25% voting control. Enough to be influential, but not so much that I can’t be overturned.”

I am uncomfortable growing Tesla to be a leader in AI & robotics without having ~25% voting control. Enough to be influential, but not so much that I can’t be overturned.

Unless that is the case, I would prefer to build products outside of Tesla. You don’t seem to understand…

— Elon Musk (@elonmusk) January 15, 2024

AI and robotic voting rights

Musk currently owns 13% of Tesla, so this proposed ultimatum to take hold of 12% would give him a larger voice in the company’s direction.

He would then go on to make a statement on his desire to further develop AI and robotics with Tesla.

However if he has a lack of voting power then Musk said “Unless that (12% increase in shares) is the case, I would prefer to build products outside of Tesla.”

Tesla mainly makes its money from automotive sales rather than any forays into AI or robotics.

Recently a whistleblower stepped forward to raise safety doubts over Tesla’s self-driving cars.

In November of last year a judge ruled that Musk, alongside other chief figures and executives at Telsa knew about shortcomings and defects in the company’s driverless models.

Tesla stocks take a dip

After Musk’s public statement Tesla shares dropped to $214.2, down around 2.1% from Monday. This continues a poor start to the year for the automotive manufacturer.

This is not an isolated occurrence, nor is it the first time an investment led by Musk has failed to improve.

He sold shares in Tesla to fund the takeover of X, formerly known as Twitter. In this move to take over the social media giant Musk assured investors they would not lose out financially.

This was not the case as the $13bn investment to buy the platform left lenders at a loss estimated in the hundreds of millions.

The post Musk makes ultimatum in Telsa share battle appeared first on ReadWrite.

 

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