Tesla’s downfall: When Elon Musk’s drama costs billions

Tesla, once a shining beacon in the electric vehicle industry, is now bleeding money and losing its grip on the market. According to a scathing Futurism article, the root cause of Tesla’s recent troubles is not merely market competition or technical challenges — it’s the CEO himself, Elon Musk, whose erratic behavior and increasingly toxic public persona are taking a direct toll on the company’s fortunes.

The article paints a vivid picture of a CEO whose antics and poor decision-making have created a perfect storm for Tesla. Musk’s recent “Robotaxi” gambit, which includes an immature, penis-shaped service map and a sharp fare increase, exemplifies his lack of seriousness and judgment. Rather than inspiring confidence, these moves only fuel frustration among investors and customers alike. The company’s plunging sales and the exodus of key executives are presented as symptoms of deeper, systemic failures linked to Musk’s leadership style.

Importantly, the Futurism piece situates Musk’s troubles within a broader narrative about his public image. Once admired as a visionary environmentalist determined to save humanity by pioneering electric cars and colonizing Mars, Musk’s standing has drastically eroded. His flirtation with divisive politics, particularly his renewed association with Donald Trump during the 2024 presidential campaign, has alienated many of his former supporters. Public opinion has turned sharply against him, with polls showing his net popularity swinging from +29% in 2016 to -23% today.

This collapse in personal brand is more than just a PR headache — it correlates with Tesla’s plummeting stock price, which has dropped 20% in 2025 alone. The article details how Musk’s public conduct has gone beyond mere gaffes to actively courting controversy: making Nazi salutes at events, creating a mock government agency with an offensive acronym (DOGE), and fostering a far-right echo chamber on the social platform X (formerly Twitter). These actions have alienated broad swathes of potential Tesla customers across the political spectrum, leaving the company isolated.

The article also critiques Musk’s operational oversight. The botched launch of the much-hyped Cybertruck, plagued by design flaws and quality complaints, has hurt Tesla’s reputation. Meanwhile, the “Full Self-Driving” technology has drawn government scrutiny for safety concerns, as it repeatedly fails to meet the promise of truly autonomous vehicles. The Robotaxi rollout, with its numerous glitches and accidents, serves as yet another example of overpromising and underdelivering under Musk’s watch.

What emerges from Futurism’s analysis is a cautionary tale about how the personal failings of a single leader can imperil a major corporation. Musk’s penchant for crude jokes, political provocations, and reckless product launches may have once been overlooked due to Tesla’s early successes and innovation. But now, with Tesla’s market value sinking and consumer trust waning, his behavior is costing the company dearly.

The article concludes with a stark observation: when a private individual acts with such irresponsibility, it may be cringe-worthy but harmless. But when the world’s richest man does so — especially while endangering lives with faulty technology and fostering divisiveness — the consequences are far more serious. Tesla’s struggles serve as a potent reminder that leadership matters, and when it falters, even the most innovative companies can stumble.