Elon Musk issued a stern warning to Bill Gates on Tuesday, July 2, advising him not to underestimate him in the future. If the Microsoft cofounder continues to bet against Tesla, he could face severe consequences.
That's because Musk is confident that he will have turned the carmaker into a massive AI powerhouse valued at an astonishing $30 trillion once Tesla successfully transitions from primarily selling EVs to running a profitable fleet of robo-taxis and humanoid robots.
Elon Musk's Dire Warning to Bill Gates Amid Tesla's AI Shift
In a highly publicized confrontation, Elon Musk has once again brought attention to Bill Gates' contentious bet against Tesla.
😂
— Elon Musk (@elonmusk) July 2, 2024
Once Tesla fully solves autonomy and has Optimus in volume production, anyone still holding a short position will be obliterated. Even Gates.
This ongoing conflict, depicted vividly in public exchanges and a recent biography, highlights the strain between two of the most powerful figures in the tech industry.
Elon Musk has expressed his disapproval of Bill Gates' decision to maintain a short position, particularly considering Gates' strong stance on environmental issues.
According to PC Tablet, Musk claims that Gates' investment against Tesla goes against his public position on climate change solutions. Musk raised concerns about Gates' dedication to addressing climate change after a Twitter poll.
The tension between Musk and Gates has been intensified by Gates' short position on Tesla stock, a calculated financial maneuver that predicts a decrease in the stock's value.
The existence of this position first came to light through a series of messages exchanged between the two billionaires, and was subsequently discussed in Walter Isaacson's biography of Musk.
In spite of Tesla's commitment to advancing the shift towards sustainable energy, Gates held his stance, indicating that he believed the stock was overvalued.
Bill Gates has offered a defense for his stance, asserting that his decision to short Tesla does not mean he is opposing the environment or electric cars.
Gates sees their investment strategy as distinct from their environmental objectives, highlighting that the financial decision is solely based on market speculation rather than a statement about their position on green technology.
Elon Musk and Bill Gates showcase stark differences in their approaches to business strategies and environmental priorities. While Musk sees Gates' actions as conflicting with Tesla's pro-climate mission, Gates asserts that his investment decisions are separate from his environmental advocacy.
Elon Musk-Bill Gates Rivalry
The public became aware of the rivalry between the two individuals when a leaked exchange in 2022 revealed that the world's wealthiest entrepreneur declined to support Gates' charitable work.
This decision was made after discovering that Gates had a significant amount of money at stake in a bet on the Tesla stock price falling.
Despite his company's poor performance in the S&P 500 this year, Musk's warning that shorts will be "obliterated" is quite a bold claim.
Tesla has experienced a decline in vehicle sales of 6.6% during the first half of the year. Additionally, their Cybertruck has faced challenges in meeting the lofty expectations set for it. Furthermore, Tesla has abandoned its goal of increasing EV volumes from 1.8 million last year to 20 million by 2030, Fortune reported.
Join the Conversation