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New Twitter CEO May Allow Musk to Focus on Tesla Amid Softening Demand

The appointment of a new Twitter chief by Elon Musk could potentially relieve the billionaire of a significant distraction, enabling him to concentrate more on Tesla Inc.


Credit: Mike Blake | Reuters


Although Tesla shares have experienced a 40% increase this year, they veered off course and declined by approximately 2% due to broader market fluctuations. In 2022, the stock suffered its worst performance, plummeting by 65%, largely influenced by Musk's fluctuating interest in acquiring Twitter. In an announcement made on Friday, Musk revealed that Linda Yaccarino, an executive from NBCUniversal, will assume the position of CEO at Twitter, while he steps back to take on the role of chief technology officer at the company.


Credit: Adweek/Christian Marquardt/Getty Images


"Tesla investors are expected to view this development positively as well, as Elon Musk's highly involved role at Twitter raised concerns that he may have been losing focus on the electric vehicle giant," commented Sophie Lund-Yates, an analyst at Hargreaves Lansdown.


Since Musk's acquisition of Twitter in a $44 billion deal, Tesla investors have expressed concerns about his ability to dedicate full attention to the company, particularly as it engages in a price war with emerging players and established automakers.


Despite the considerable time Musk has dedicated to Twitter following its acquisition, he continues to actively manage various other enterprises, including SpaceX and Neuralink. Notably, he recently established an AI company called TruthGPT, which aims to compete with OpenAI's ChatGPT and Alphabet Inc's (GOOGL.O) Bard.

Musk's involvement with Twitter has been marked by significant turmoil. He has implemented substantial job cuts within the social media company, dismissed its top executive team (including the CEO) and introduced numerous alterations to its policies and strategic direction, with a shift towards reducing reliance on advertisements and increasing emphasis on subscription revenue.


  • The appointment of a new Twitter chief by Elon Musk is expected to allow him to focus more on Tesla Inc.

  • Tesla shares experienced a 40% increase this year but declined by approximately 2% due to broader market fluctuations, influenced by Musk's interest in acquiring Twitter.

  • Linda Yaccarino, an executive from NBCUniversal, has been announced as the new CEO of Twitter, while Musk takes on the role of chief technology officer.

  • Analysts anticipate that Tesla investors will view this development positively, as concerns were raised about Musk losing focus on the electric vehicle giant.

  • Musk's involvement with Twitter has raised concerns about his ability to dedicate full attention to Tesla, particularly amid a price war with competitors.

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