Elon Musk’s Ownership of Tesla
Elon Musk’s brilliant investments have earned him a spot among the world’s richest individuals. Much of his success comes from his involvement with Tesla. But many people don’t understand how much of the company Musk owns. Seeing exactly how much of Tesla is his is important for understanding his journey, his current holdings, and his broader interests as an investor.
Elon Musk has actually owned, and/or influenced, several Tesla companies. He was CEO and product architect of the original Tesla Motors, which makes cars, until he left the position in 2008. He was chairman for the company, Tesla Motors, until he became chairman of Tesla, Inc. in 2016. The Tesla Motors was eventually merged into Tesla, Inc., giving Musk ownership of the same company with multiple different mandates established by the merger.
Elon Musk began creating his Tesla empire nearly a decade ago. Starting in 2005, holding of Tesla Motors stock steadily went to his name. By the end of 2006, Musk officially owned a tenth of Tesla Motors, and just four years later, by the end of 2010, he owned more than a quarter of the company. That quarter equates to 33.8 million shares of Tesla Motors and values at more than US$10 billion today.
Following a 2012 merger, the shareholdings in Tesla, Inc. transitioned to Musk as well. In 2015, stock filings showed that Musk holds just over 21 million common shares of the newly formed automaker, which puts his total direct Tesla stake at around US$7.2 billion. Combining his stakes in Tesla, Inc. and in Solar City, Tesla’s sister company, Musk’s Tesla empire is worth over US$8 billion.
When taking into consideration salaries, dividends, grants, and stock options, Musk made approximately US$1.3 billion off Tesla in 2018. This was a huge portion of his income for that year, which totaled over US$2 billion. That year also saw him rise to the fourth-richest person in the world. He had relinquished the role of CEO in 2017 to hire a new CEO and focus his energies instead on helping make Tesla a success from its special adviser position.
Elon Musk’s journey to his current Tesla accomplishments certainly wasn’t easy. He took great risks throughout his career and over the years, ample evidence has cropped up to remind us what a huge gamble Musk took with his fortunes on the road to becoming a billionaire. Musk has said it himself, “If things had just gone a little bit differently, it would have been curtains.” It is impossible to overestimate the power of someone capable of such risk-taking behavior and being so successful.
The Company’s Trajectory Under Musk
Since Tesla’s inception, the company has seen incredible high points and plenty of low points too. Over the years, Tesla’s stock prices have fluctuated, and the company has faced numerous technical and financial issues. Today, however, the business is in good shape and appears well situated for the future.
Most of Tesla’s success in the last few years is due to the leadership of CEO Elon Musk. Leading the company since 2004, Musk has become invested in driving the company further and further, aiming to make electric cars the norm by 2020. As a result, the company has seen a surge in the stock market and a steady increase in customers.
Tesla’s production increased 400% in 2018 and 2019 marked the first annual net profit in the company’s history. Since then, Tesla’s success has only grown, and the stock has climbed to an astonishing all-time high, basically tripling its value over the past year. The company’s market value reached US$203 billion in April 2020, roughly equal to the combined values of Ford and GM.
It’s difficult to say what Tesla’s future holds, but it’s becoming increasingly clear that Musk’s vision of electrifying the world and his leadership have resulted in unprecedented success for the company. Much of this is due to his efforts to move the company away from the traditional methods of manufacturing and into the forefront of the new economy.
Musk’s leadership has really transformed Tesla, encouraging a culture of innovation and inspiring employees to think differently. As a result, the company has seen some of the world’s most innovative products and applications, including the Autopilot self-driving car feature and the recently launched Solar Roof.
Musk’s Influence on the Automotive Industry
Tesla’s success has had a huge impact on the automotive industry. Major car manufacturers around the globe are scrambling to catch up to Tesla’s innovations. These manufacturers are now beginning to see the potential of electric vehicles and are actively investing in electric car programs of their own.
Musk’s influence on the industry can also be seen in other ways. Before Musk, electric cars had been seen as expensive and impractical. Now, thanks to Tesla, electric vehicles are becoming an increasingly viable option for consumers who want clean, efficient, and reliable transportation. Tesla has even helped to drive down the cost of electric vehicle batteries, making them more affordable.
What’s more, Tesla’s vision of sustainable transportation—where electric cars result in reduced emissions, decreased energy usage, and improved air quality—has encouraged even the most skeptical consumers to rethink their views. As the company continues to expand its global reach, the effects of its presence can already be felt around the world.
Musk’s Leadership Style
It’s clear that Musk is a focused, passionate and determined leader. Under his direction, Tesla continues to push the boundaries of automotive technology and is leading the industry into the future. But just how does Musk lead?
As CEO, Musk is visionary, creative and relentlessly ambitious. He is not afraid to take risks and push boundaries in the pursuit of his goals. He encourages his employees to think outside of the box and is not afraid to try new things, even if they have the potential to fail.
Musk is also fiercely competitive and is driven by a desire to win. He has a competitive spirit and encourages his employees to work hard in order to achieve greatness. He is confident in his abilities, demanding excellence, and takes pride in his accomplishments. He also has a great capacity for risk-taking, and is willing to take chances on projects he believes will be beneficial to Tesla.
Musk’s leadership style has proven to be a success, and the success of Tesla can be attributed in large part to his efforts. Under his guidance, Tesla has achieved unrivaled success and will surely continue to shape the future of the automotive industry.
The Growing Influence of Tesla
Tesla’s influence on the industry and its long-term success are only going to grow as the company continues to innovate and expand. Musk’s vision and leadership have been integral to the company’s transformation, and they will only become more important as Tesla embarks on its next chapter.
In the coming years, it is likely that Tesla will continue to become a more powerful player in the industry. As the company continues to expand, it will become an even bigger force in the automotive world. The future of transportation is undoubtedly going to be electric, and Tesla will be at the forefront of the revolution.
Tesla’s influence is already being felt it in the poically, as well. Musk’s leadership has inspired a new wave of green activists who are pushing for increased regulation and support for electric vehicles. As the company’s influence grows, it will increasingly be able to shape the debate over environmental issues.
Tesla is becoming an ever-growing force in the auto industry, and the success of the company is clearly driven by the passion and leadership of its CEO, Elon Musk. His vision and determination have been instrumental in the company’s rise to the top, and it will be interesting to see how Tesla continues to shape the future of the automotive industry.
