Tesla's Top Exec Fired Amid Plummeting Sales and Stock Decline; Musk's AI Focus Faces Scrutiny

June 26, 2025
Tesla's Top Exec Fired Amid Plummeting Sales and Stock Decline; Musk's AI Focus Faces Scrutiny
  • Omead Afshar, Tesla's head of operations in North America and Europe, was recently fired amid declining sales and a notable drop in the electric vehicle brand's popularity.

  • Tesla's stock has plummeted approximately 19% this year, reflecting the company's ongoing struggles in a competitive market.

  • Afshar's departure comes at a difficult time for Tesla, which reported a 71% year-over-year drop in profits in the first quarter of 2025 and a nearly 28% decline in European sales in May.

  • This marks the first annual decline in car sales for Tesla since it began mass production of electric vehicles over a decade ago.

  • Known as the 'Musk Whisperer', Afshar was a trusted confidant of Elon Musk and played a significant role in various ventures, including Tesla and SpaceX.

  • The specific reasons for Afshar's termination remain unclear, with reports suggesting he may have been fired by Musk, although neither party has commented on the situation.

  • Afshar was promoted to Vice President in October 2024, tasked with managing sales and manufacturing operations during a challenging period for the company.

  • Concerns among customers regarding Musk's political affiliations and distractions from Tesla due to his involvement with other ventures have contributed to the brand's declining reputation.

  • Despite the challenges, Musk is focusing on reorienting Tesla towards artificial intelligence and robotics, recently launching a pilot robotaxi service in Austin.

  • However, this rollout has raised concerns about the vehicles' behavior, prompting a review by the National Highway Traffic Safety Administration.

  • As Tesla prepares to release its global delivery results for the second quarter of 2025, the market watches closely for signs of recovery or further decline.

  • Afshar's exit follows other significant departures from Tesla, including the head of engineering for the Optimus humanoid robot program and the human resources director.

Summary based on 12 sources


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