Tesla CEO Elon Musk has reportedly dismissed Omead Afshar, the vice president of sales and manufacturing for North America and Europe, according to Bloomberg News and Forbes.

Afshar has not commented on his departure, and the reasons behind his termination remain unclear.

Tesla and Musk have not responded to requests for comment.

Afshar was a key figure at Tesla, credited with overseeing the construction of the Austin, Texas factory.

However, he was implicated in a 2022 internal investigation related to purchases for a glass project allegedly tied to Musk. Federal agencies began investigating the matter in 2023.

His dismissal comes as Tesla faces ongoing struggles in sales and profitability, including its first annual sales decline in 2024 and a 71% drop in Q1 profits in 2025.

🔗 Source: TechCrunch

🧠 Food for thought

1️⃣ Musk’s pattern of abrupt executive dismissals reflects his crisis management style

Afshar’s sudden firing follows a documented pattern of Musk’s management approach during challenging business periods.

Musk has historically removed executives during times of crisis, including firing seven senior leaders at SpaceX’s satellite division in 2018 when dissatisfied with progress on the Starlink initiative 1.

Tesla employees have previously been instructed to avoid passing Musk’s desk due to his unpredictable “rage firings,” with reports that he expressed a need to fire someone daily 2.

This management approach has created high turnover at Tesla, where executives who were once close confidants can be swiftly removed despite their loyalty, as evidenced by Afshar’s supportive post about Tesla’s robotaxi service just days before his termination.

The timing of this executive change aligns with Tesla’s first annual sales decline since it began mass production, suggesting Musk may be seeking new leadership to address deteriorating business performance.

2️⃣ Tesla faces unprecedented competitive pressure as its European market position erodes

Afshar’s departure comes amid Tesla’s most significant market challenges to date, particularly in Europe where the company has lost substantial ground.

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