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Ex-Stellantis CEO Warns Tesla Could Exit Auto Business Within 10 Years as Musk Dismisses the Prediction

The remarks land as investors prepare to vote November 6 on Elon Musk’s proposed $1 trillion pay plan.

Overview

  • Carlos Tavares, who led Stellantis until late 2024, told Les Echos that Tesla could leave the car industry within a decade as Elon Musk potentially shifts focus to robotics, SpaceX or AI.
  • Elon Musk publicly rejected the forecast on X, saying the former CEO “has absolutely no clue,” while Tesla shares pulled back modestly in recent trading, according to multiple reports.
  • The warning follows Tesla’s Q3 disclosure of record 497,099 deliveries and $28.1 billion in revenue alongside margin compression, a 37% drop in GAAP net income, and roughly $400 million in tariff costs.
  • Competition pressures continue as BYD has overtaken Tesla in global EV sales and Tesla’s China market share has fallen to about 5% from roughly 16% in 2020.
  • A shareholder vote is set for November 6 on a 10‑year compensation package for Musk reported at about $1 trillion, which faces opposition from proxy advisers, and some coverage misattributed Tavares’s remarks to another former Stellantis chief.