Musk’s right hand at Tesla ousted over sales slide

Tesla has dismissed one of its most senior executives amid its sales debacle and growing unease over CEO Elon Musk’s polarizing public profile. Omead Afshar, a long-time confidant of Musk and head of operations for North America and Europe, was quietly let go, according to Forbes. The departure reflects deepening turbulence within the electric vehicle giant.

Afshar’s trajectory at Tesla was unconventional. Trained as a biomedical engineer, he found his way into Musk’s inner circle. He rose swiftly, eventually overseeing the construction of the company’s Texas Gigafactory before assuming control of sales and production in Tesla’s most important markets.

His dismissal, though officially unacknowledged by the company, comes as Tesla confronts waning demand and mounting political blowback. It seems Musk has sacrificed his corporate prodigal son over the ongoing commercial crisis.

Steep 45% drop

That crisis hits hard, as sales in the European Union have plummeted. New figures from the European Automobile Manufacturers’ Association show that Tesla sold just 50,400 vehicles in the EU so far this year—a steep 45% drop from the same period last year. The three-month rolling average of Tesla’s monthly EU sales now sits at its lowest level in nearly three years, despite a booming market for electric vehicles more broadly.

The irony is hard to ignore. Tesla, once the undisputed poster child of the EV revolution, is now losing ground as buyers turn to newer, cheaper alternatives, particularly from China. Brands like BYD are capturing growing market share, while Tesla finds itself increasingly out of step with the shifting sensibilities of European consumers.

Part of the decline has been attributed to Musk himself. Once hailed as a tech visionary, his recent forays into hard-right politics have begun to weigh heavily on the brand. Musk briefly served as an adviser to Donald Trump earlier this year. It was openly supportive of Germany’s far-right AfD party during the country’s parliamentary elections, a position that has not played well in one of Tesla’s key markets.

Growing list of departures

Tesla is not only losing sales, but also a growing list of true and trusted executives. In the spring, Milan Kovac and David Lau left, following the departure of seven other high-ranking executives.

The former oversaw the Optimus robot program, while the latter served as vice president of the quintessential software department, which, to this day, gives the company a head start over legacy brands. As these managers served Tesla for several years, their departure is even more symbolic.

Afshar’s ousting also carries echoes of earlier internal dramas. In 2022, he was reportedly investigated for using company resources to procure “special glass” for a secretive project related to Musk. The incident, linked to a never-built glasshouse near Austin, saw Afshar briefly shuffled to SpaceX before resurfacing at Tesla in a high-ranking role. Due to his close relationship with the CEO, he was nicknamed the ‘Musk whisperer’.

Two years later, his return to prominence has ended in a quiet exit.

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