Reprogramming Tesla: From Antagonizing the Media to Rebuilding Trust
Tesla’s relationship with the media has always been unconventional. Under the leadership of CEO Elon Musk, the company has made waves by choosing not to follow traditional public relations tactics. Though bold, this approach has not been without its consequences, particularly regarding investor confidence and public perception.
Tesla's Antagonistic Stance Toward the Media
In 2020, Tesla made the radical decision to eliminate its entire U.S. media relations team. Instead of issuing formal press releases or hosting regular media briefings, Tesla leaned on Musk’s personal Twitter account as the primary channel for news. This move left journalists scrambling to get official comments, as the company had no designated spokesperson.
Musk's approach didn’t stop there. In late 2022, after acquiring Twitter, he further complicated Tesla’s relationship with the media by implementing a quirky auto-reply system for press inquiries. The response? A simple poop emoji. Musk clarified that the emoji symbolized "BS," underscoring his frustration with certain media narratives. This edgy move gained a significant amount of media attention, it was also on-brand for the disruptor company. But life happens even after you’ve gotten that first warm splash of attention.
We found the answer to the question: “Who still reads the paper?”
The answer: Tesla’s shareholders.
As a boss of mine used to say, “everyone has a boss.”
The company's reliance on Musk’s personal brand, coupled with the absence of a formal PR team, left a gap in crisis communications. This became painfully evident as Tesla faced growing public scrutiny, particularly related to Musk’s political ties and Tesla’s financial performance.
After reaching a high in December 2024, Tesla’s stock plummeted by 53%. The sharp decline was attributed to several factors: Musk’s continued political involvement, a disappointing first-quarter earnings report that revealed a 71% drop in net income, and a 13% decrease in vehicle deliveries. Additionally, increased competition from global manufacturers like China’s BYD added pressure to Tesla’s market position.
How Tesla Reacted This Time
Unlike in the past, the company took a more strategic stance in 2025. Recognizing the significance of media narratives, Tesla worked hard to regain control of the story.
In late April 2025, the company announced that Musk would reduce his involvement in governmental initiatives, including his role in the Department of Government Efficiency, to focus more on Tesla’s core operations. The move was well received by investors and was reflected in a 5% rise in the stock price in after-hours trading.
This shift includes not only rebranding efforts, such as repositioning the Cybertruck to focus on its practical, work-capable features,
Additionally, Tesla used its position to align with broader policy shifts. The release of an Automated Vehicle Framework by the Department of Transportation aimed to relax regulations on self-driving cars, which significantly benefited Tesla. The announcement triggered a rally in the stock, marking the company’s best weekly performance since November 2024. The number recently are a small improvement, but remain pretty flat.
One More Thing….
Unrelated to everything above, this is what can happen when you tie your entire brand to one living person. We looked at the case of Carlos Ghosn earlier…part of the issue investors had wasn’t the partisanship per se, but that Musk wasn’t in the office managing Tesla. The lone genius model is an incredibly appealing narrative…yet it can present problems.