Elon Musk’s Close Ally Exits Tesla Amid Challenges
Elon Musk has let go of Omead Afshar, previously the head of Tesla for North America and Europe. This move comes as the electric vehicle manufacturer grapples with diminishing sales and various global business challenges.
Internally, news of Afshar’s departure has spread, confirming that he is no longer listed in the company directory. Just last year, he had been appointed to oversee crucial sales and manufacturing operations in these important markets. Notably, Tesla is facing tough competition from China and is also dealing with a somewhat outdated EV lineup, plus some discontent among its more dedicated consumers.
This exit follows a series of other significant departures, including Milancobach, the engineering director for Tesla’s Optimus Humanoid Robot Program, who left citing personal reasons, and Jenna Ferua, the North American head of human resources.
Such changes in human resources emphasize the tumultuous period Tesla is in, with stock prices plunging about 19% and a noticeable decline in demand for electric vehicles. Musk has been redirecting the company’s focus toward artificial intelligence, robotics, and autonomous vehicles. Recently, a limited rollout of the long-anticipated Tesla Robotaxis began in Austin, Texas.
Afshar joined Tesla in 2017, according to his LinkedIn profile, during a time when the company was ramping up production of the Model 3 sedan. He had a close working relationship with Musk, often spending significant personal moments together. Afshar played a key role in overseeing the construction of Tesla’s factories in Austin.
In 2022, he came under some internal scrutiny for his involvement in sourcing challenging construction materials, including specific glass for the so-called “Elon Musk Glass House.” It’s not unusual for executives to have cross-over roles within Musk’s business ventures, as Afshar had previously worked at SpaceX.
As it stands, Tesla currently has only three executive officers: Elon Musk, Chief Financial Officer Vaibhav Taneja, and Senior Vice President of Automobiles Tom Zhu. The company is expected to release its global delivery figures for the second quarter next week, which will shed more light on how these executive changes are affecting overall performance.
