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The ‘Elon Musk Method’ explains Tesla’s runaway success in the EV sector

Elon Musk giving YouTube tech reviewer Marques Brownlee a tour of the Fremont factory. (Credit: MKBHD/YouTube)

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Over his 16-year tenure at Tesla, Elon Musk went from knowing very little about the automotive business to being the CEO of the world’s most valuable carmaker by market cap. The journey towards Tesla’s current place in the electric vehicle sector, together with the numerous small milestones that the company has achieved over the years, is partly due to Musk’s style. Without the “Elon Musk Method,” Tesla’s successes would likely have been not as notable, and most certainly not as radical. 

As noted in a Reuters article, Elon Musk’s record has shown that beyond the rockstar bravado that he displays on social media platforms like Twitter at times, the Tesla CEO is a quick learner who is smart and strategic enough to forge alliances with companies that had tech that Tesla lacked. Musk would then follow this up by hiring the smartest people available in the industry, before powering through boundaries that limited companies that are more risk-averse. 

Under Musk’s leadership, Tesla flourished as a vertically-integrated electric car maker. From computers to car seats and now to battery cells, Musk is intent on making Tesla more and more independent. Speaking with the news agency, a former senior executive at Tesla noted that Musk is consistently set on pursuing improvements that would make something better, faster, and cheaper. “Elon doesn’t want any part of his business to be dependent on someone else. And for better or worse – sometimes better, sometimes worse – he thinks he can do it better, faster and cheaper,” the executive said.

Tesla CEO Elon Musk unveils futuristic Cybertruck in Los Angeles
Tesla CEO Elon Musk unveils futuristic Cybertruck in Los Angeles, Nov. 21, 2019 (Photo: Teslarati)

According to people familiar with Tesla’s strategy in its early days, Musk has always been looking to learn more about the auto industry. He accomplishes this through several means such as strategic partnerships and aggressive talent recruitment. Back then, the goal of Tesla was reportedly to create a digital version of Ford’s iron-ore-to-Model-A production system, which was developed in the late 1920s. Former Tesla supply chain executive Tom Wessner noted that during these times, “Elon thought he could improve on everything the suppliers did – everything. He wanted to make everything.” 

Among these components, of course, were the battery cells that are used for Tesla’s electric cars. Musk’s subordinates have reportedly argued against the idea of developing proprietary battery cells, but the CEO has been adamant about his goal. A former Tesla veteran who spoke to Reuters added that such a reaction from Musk is well within character. “Tell him ‘No’ and then he really wants to do it,” the veteran said. This is something that has happened in the past, as Musk was reportedly looking into battery cell manufacturing since 2011, well before going into a close partnership with Panasonic in 2013. 

(Credit: Living with Intent/YouTube)

Tesla’s relationship with Panasonic could be described as a roller coaster ride. Tesla’s demands during the Model 3 ramp appeared to have strained the capabilities of its Japanese partner, and last year, reports emerged alleging that the two companies were growing apart. Yet even with the upcoming debut of Tesla’s Roadrunner cells, Panasonic maintains that it has a strong relationship with Tesla. “There has been no change in our relationship with Tesla. Our relationship, both past and present has been sound. Panasonic is not a supplier to Tesla; we are partners. There’s no doubt our partnership will continue to innovate and contribute to the betterment of society,” a Panasonic spokesperson stated. 

It appears that Tesla’s long partnership with Panasonic is part of the building blocks of the Roadrunner project. True to form, Musk likely used the knowledge he learned from the veteran Japanese firm to help create an in-house battery cell production line that could be perfectly designed for Tesla’s electric vehicles and energy products. This, in a way, echoes much of Tesla’s development alliance with Daimler in the past. Daimler was an early investor in Tesla, and during the time, Musk reportedly became very interested in sensors that could help keep cars within lane lines. As noted by a senior Daimler engineer, the Tesla Model S lacked the necessary cameras and driver-assistance sensors to match the flagship features of the Mercedes-Benz S-Class then. Musk and the Tesla team then went to work, and the result was history. 

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“He learned about that and took it a step further. We asked our engineers to shoot for the moon. He went straight for Mars,” the Daimler executive said. 

Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

Elon Musk

Tesla CEO Elon Musk says this common issue is ‘major area of focus’

Tesla, like any other company, goes through hardware issues with its vehicles, but some are more publicized than others.

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Credit: Tesla

Elon Musk said this afternoon on X that a commonly reported issue with the Tesla vehicles is a “major area of focus” for the company.

Tesla, like any other company, goes through hardware issues with its vehicles, but some are more publicized than others.

However, the simple yet annoying issues that owners encounter through thousands of miles of driving do not receive as much attention, even though they are likely more pertinent and frequently encountered by owners.

One of those problems is with the central windshield Full Self-Driving camera, which sits inside a housing at the top of the glass, enabling Tesla Vision to have an uninterrupted view of the traffic and surroundings ahead of the vehicle.

Many owners have reported that their vehicles alert them when Full Self-Driving is unavailable due to an obstruction with this camera. Commonly, it is caused by a buildup of condensation, which creates a haze on the camera and obstructs its view.

Tesla suggests a quick cleaning of the housing and cameras, which resolves the problem. Still, owners are not necessarily ecstatic about having to do this themselves.

Tesla developing more comprehensive Cybertruck camera cleaning system

Musk says that Tesla is attempting to fix the issue, and said in response to one owner who performed the maintenance that it was a “major area of focus” for the company:

While many were enthusiastic about the potential fix, but some complained that their cars had been in for service many times for the issue, inhibiting their ability to utilize FSD and truly enjoy the full experience of owning a Tesla.

It will likely be a hardware fix that will be implemented through a service appointment, but knowing Tesla, they could have something up their sleeve through a software update to resolve the issue.

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Tesla’s Lead of Optimus AI departs and people are confused about it

Kumar, who has been with Tesla for just over two years, made his announcement on X, revealing he was taking a role at Meta as a Research Scientist.

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Credit: @heydave7/X

Tesla’s Lead of Optimus AI, Ashish Kumar, is departing the company, and people sure are confused about it.

Kumar, who has been with Tesla for just over two years, made his announcement on X, revealing he was taking a role at Meta as a Research Scientist.

He said:

“Decided to leave Tesla. It’s been an incredible ride leading the Optimus AI team. We went all-in on scalable methods — swapping the classical stack with reinforcement learning & scaling dexterity by learning from videos. AI is the most significant bit to unlock humanoids.”

Tesla fans were baffled by Kumar’s decision, immediately questioning his choice, with many wondering why he’d leave Elon Musk for Mark Zuckerberg.

Some said the choice had to be financially motivated, but Kumar said it was not, and if money were the driving factor, he would have stayed at Tesla:

Others were grateful for Kumar’s contributions to the company and were very respectful regarding his decision:

It’s possible that Kumar chose to leave Tesla for more reasons than one, and financial reasons do not appear to be the issue, as he admitted. However, it could be a better work-life balance at Meta, or perhaps there is an internal project that simply interests him more.

Tesla will be okay, and Optimus will continue to improve with a new Lead in that position. We wish Ashish the best of luck in his new role, and we are thankful for what he contributed to the Optimus program.

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Elon Musk: Tesla shareholder vote results could “affect the future of the world”

“This shareholder vote decides the future of Tesla and may affect the future of the world,” Musk posted on X.

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MINISTÉRIO DAS COMUNICAÇÕES, CC BY 2.0 , via Wikimedia Commons

Elon Musk is urging Tesla shareholders to take part in the company’s upcoming annual meeting, calling the vote critical not just for the automaker but potentially for the world. 

“This shareholder vote decides the future of Tesla and may affect the future of the world,” Musk posted on X, emphasizing the importance of proposals that will be voted on in the upcoming meeting on November 6, 2025.

A pivotal inflection point

In a message from its official account, Tesla described itself as being at “a critical inflection point” as it prepares for its annual meeting. Shareholders will soon receive voting instructions, with the company asking investors to back the Board’s recommendations on all proposals. The post also referenced Tesla’s Master Plan Part IV, which outlines ambitious growth targets across vehicles, energy, and artificial intelligence.

“Tesla is at a critical inflection point. We need your vote ahead of our 2025 Annual Meeting on November 6. Tesla shareholders, the owners of our company, will soon receive their control numbers and voting instructions from their brokers. This will enable you to vote. We are asking you to vote with the Board’s recommendations on *all* proposals,” Tesla wrote in its post.

The company also highlighted that it is currently on the brink of a “massive wave of transformational growth.” Tesla stressed that confidence in Musk’s leadership is central to this trajectory, as he is the CEO who could lead Tesla into its new, ambitious era.

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Some Key proposals

Two proposals stand out in Tesla’s recommendations, as per the company’s VoteTesla.com website. The first seeks to amend and restate Elon Musk’s 2019 Equity Incentive Plan, creating a special reserve of nearly 208 million shares to give the board flexibility amid ongoing litigation surrounding Musk’s 2018 CEO Performance Award. It also calls for replenishing the general share reserve with 60 million additional shares, ensuring capacity for employee equity grants.

“Equity is the cornerstone of Tesla’s compensation philosophy. We believe we need a framework that allows us to honor the deal we made with Elon and the extraordinary value he created for Tesla shareholders under the 2018 CEO Performance Award. In addition, it is essential that we maintain sufficient equity reserves and maximum flexibility to attract, retain and motivate talent at Tesla,” Tesla wrote.

The second proposal is a new 2025 CEO Performance Award, a pay-for-performance framework that links Musk’s compensation to reaching ambitious market cap and operational milestones. Under the plan, Musk would earn nothing unless Tesla achieves extraordinary results, potentially creating more than $7 trillion in shareholder value and pushing the company’s valuation to as high as $8.5 trillion. The company also asked shareholders to vote in favor of re-electing three directors: Ira Ehrenpreis, Joe Gebbia, and Kathleen Wilson-Thompson.

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