Musk's social commentary hurting Tesla, other brands: Bill George
All eyes have been on Tesla (TSLA) CEO Elon Musk as of late, from his managing of his several other ventures — The Boring Company, SpaceX's Starlink satellite, X.com — as well as his controversial social commentaries. It seems as though Musk may be stretched too thin to lead Tesla to its goals against mounting challenges in 2024.
Former Medtronic CEO Bill George joins Yahoo Finance to weigh in on Musk's image and capabilities as a leader going forward.
"Investors that are going to look at the product and how it does, unless it is social commentaries, but I do think it's having an overall negative impact on his image," George states. "And, frankly, it's hurting people. And he needs to get back to a civil network, if he could take X... and make it more like LinkedIn where we had more civil discourse, it would be a lot better off."
For more Yahoo Finance coverage of Tesla:
Morgan Stanley, Starbucks, Tesla: 2024 leadership in focus
Tesla: Is Elon Musk too distracted by his other companies?
Catalysts for Tesla stock in 2024
Tesla is 'the AI company': Analyst
Tesla: Car buyers missing out 'because they don't like Elon'
For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Video Transcript
[AUDIO LOGO]
BRIAN SOZZI: We've been talking all about Elon Musk's companies this morning, digging into their performances this year and what may happen next year. But the man behind those big names is also important to understand. He's done a lot in 2023-- maintaining Tesla's status in the EV market and continuing his rebranding of the company formerly known as Twitter. As a leader is-- as the leader, is Musk effective or is he taking on too much?
Bill George, former Medtronic chairman and CEO and author of "True North" and "Authentic Leadership" joins us now. Bill, thanks for giving us some time here. We've really been trying to make the connection on some of the outlandish stands that Musk is taking in terms of social issues, potentially starting to weigh on Tesla's stock and its performance. Do you see that day happening? And if so, is that 2024?
BILL GEORGE: Yeah, I think Elon's got to decide, is he going to be the greatest inventor of our era, which I think he is, or is he going to be a social commentator? So I'd give him an A plus as an inventor and an F as a social commentator. And so, look, what he's done with Tesla, what he's done with SpaceX and Starlink and with potential for some of his neural networks, I think is absolutely incredible. And I hope he'll continue focusing on that.
But all this time on social commentary is really distracting, and it doesn't make him look good, I think. Honestly speaking, I think on the social side, he's developed a messianic complex that he can kind of move the whole world, and I'd rather have him get back to inventing great things and move the world.
BRAD SMITH: OK. And so for customers who see this profile and say, yes, great inventor, but at the end of the day, do I want to purchase from the inventor who's turn more of a commentator-- to your particular point-- who's made the acquisitions who's changed perhaps the entire construct of a social platform that maybe you went to and now has become less safe. Where do you kind of toss the ball up in the air and ultimately kind of see where it lands there?
BILL GEORGE: Well, I know people and a number of people that are not buying Teslas because of social commentary. But I think the sales are still going to be strong. And people would want the automobile, they'll buy them. And frankly, investors that are going to look at the product and how it does unless it is social commentaries. But I do think it's having an overall negative impact on his image. And frankly, it's hurting people. And he needs to get back to a civil network.
If he could take X, his formerly Twitter, and make it more like LinkedIn, where we had more civil discourse, would be a lot better off. This anti-Semitism and racism and homophobia and everything on X is really driving really bad discussions and hurting the country and the world. So I'd rather see him get back to a more civil discourse approach. And why not.
