
Tesla has lost a key executive and Elon Musk confidant, intensifying concerns over leadership stability amid weakening electric-vehicle demand.
At a Glance
- Omead Afshar, a longtime Musk lieutenant overseeing North American and European sales, resigned June 26.
- Afshar joined Tesla in 2017 and became central to the Texas Gigafactory and CEO’s office.
- His departure follows a string of top-level exits amid Tesla’s cost-cutting and organizational shakeups.
- The move coincides with slumping EV demand in core markets and rising competition from rivals.
- Tesla’s stock is down roughly 19% this year, reflecting market uncertainty about future growth.
Confidant Afshar Departs Amid Crisis
According to Reuters, Omead Afshar—described as one of Elon Musk’s closest aides—left Tesla on June 26, as the company faces declining EV sales and shifting priorities. Afshar joined Tesla in 2017 and rose to oversee North American and European sales operations, while also playing a behind-the-scenes role at the CEO’s office.
He was widely considered Musk’s “fixer,” managing projects like the Texas Gigafactory. A 2023 Wall Street Journal profile detailed his influence over internal crisis management and executive coordination. His sudden exit, sources suggest, is part of a growing list of high-level departures that may reflect deeper organizational instability.
Watch a report: Tesla Executive Afshar Departs Amid Sales Slump
Broader Exodus Reflects Strategic Strain
Afshar joins a wave of resignations that include top personnel in human resources, battery development, robotics, and government affairs. As Reuters reported, these changes accompany Tesla’s restructuring to focus on AI, robotaxis, and autonomous vehicle technology.
Musk’s aggressive push toward software-driven goals has raised concerns about whether Tesla can maintain performance across core EV manufacturing while pursuing long-term innovations. Industry watchers say the growing turnover suggests internal disagreements over how fast Tesla should pivot.
Market Impact and Leadership Risk
Tesla’s stock has dropped approximately 19% year-to-date, as investor confidence erodes amid executive departures and softening EV demand. Analysts warn that losing someone so close to Musk during a critical transition could weaken Tesla’s grip on the robotaxi market it hopes to dominate by 2026.
The question now is whether Tesla’s top-down leadership structure can withstand this erosion—or if Musk’s control-centric model is starting to crack under pressure.