April 30 (Reuters) - Tesla board members
reached out about a month ago to several executive search firms
to find a successor to CEO Elon Musk, the Wall Street Journal
reported on Wednesday, citing people familiar with the
discussions.
The current status of the board's push, which, according to
the report, was sparked by Musk's heavy involvement with the
Trump administration, could not be determined, WSJ said.
Musk last week said he would cut back significantly on the
time he devotes to the Trump administration and spend more time
running Tesla.
Musk's work at his Department of Government Efficiency
(DOGE), where he has led efforts to cut federal jobs, has been
one of the most controversial aspects of the Trump presidency,
and his time away from Tesla has been an additional concern for
investors as sales of its aging EV lineup have been on the
decline.
His embrace of far-right politics in Europe has also led to
protests against Musk and the company as well as vandalism at
its showrooms and charging stations across the U.S. and Europe.
The board members met Musk and asked him to acknowledge
publicly that he would spend more time at Tesla, the report
said.
But it was unclear if Musk - also a member of the board -
was aware of succession planning, or if his pledge to spend more
time at Tesla has affected the efforts, the report added.
Tesla and Musk did not immediately respond to Reuters'
requests for comment.
Tesla is at a crucial juncture.
Amid rising competition globally, Musk has pivoted from his
promise of making a new affordable EV platform to rolling out
driverless taxis and humanoid robots, highlighting Tesla's
future as an AI and robotics company instead of an automaker.
Much of the company's valuation is based on that vision,
and some investors believe Trump will help further it. Last
week, federal regulators
eased rules for testing autonomous vehicles
, boosting Tesla's stock.
Some Tesla directors, including co-founder JB Straubel,
have been meeting with major investors to reassure them the
company is in good hands, the WSJ said.
Activist investors have long accused Tesla's board of
lacking independence and failing to rein in Musk.
Board chair Robyn Denholm, hand-picked by Musk whose
controversial pay package she defended, has also
drawn criticism for her own pay package
along with questions about whether that compromised her
oversight of Tesla and Musk. Denholm has dismissed the
allegations and a spokesperson has said her pay was fair.
The eight-person Tesla board, which also includes Musk's
brother Kimbal Musk and James Murdoch, son of media mogul Rupert
Murdoch, has been looking to add an independent director, the
report said.