artificial intelligence<\/a>. Yet SpaceX remains cash-hungry, and much of the \u200ccompany’s valuation rests on technologies that may take years or decades to become commercially viable.<\/p>\nBeyond Tesla and SpaceX, Musk has co-founded five other companies, including tunneling startup The Boring Company and brain implant maker Neuralink.<\/p>\n
As CEO of Tesla, Musk has courted controversy and praise in equal measure. He is credited with turning Tesla into the world’s most valuable automaker. Executives at legacy automakers dismissed the threat for years, skeptical that a startup car company could figure out how to mass produce electric vehicles profitably.<\/p>\n
\u201cHe renewed the world’s respect for American ingenuity in automotive engineering,\u201d said Bob Lutz, a former General Motors vice chairman.<\/p>\n
At the same time, Tesla has faced legal challenges and shareholder concerns tied to its storied CEO, particularly his 2018 pay package, once worth $56 billion.<\/p>\n
Musk’s influence has become so pervasive that market observers have dubbed the network of businesses around him the “Muskonomy.”<\/p>\n
The phenomenon has given rise to what some investors call the “Elon premium,” a valuation \u200cboost driven as much by faith in Musk’s vision as by traditional financial metrics.<\/p>\n
“Much like Tesla, SpaceX is a bet on Elon \u200bMusk,” said Matt Kennedy, senior \u200dstrategist at Renaissance Capital, a provider of IPO-focused research and ETFs.<\/p>\n
“A market cap of $1.5 trillion-$2 trillion would certainly throw \u200ball traditional valuation methodologies out the window, and is instead best characterized as the ‘Elon Musk premium.'”<\/p>\n
MUSK UNFILTERED<\/p>\n
The concentration \u200bof influence around a single entrepreneur has amplified concerns about corporate governance, conflicts of interest and the risks of tying company fortunes too closely to one individual.<\/p>\n
Over the years, Musk \u200chas turned clashes with regulators, billionaires, short sellers, journalists and media organizations, including Reuters, into \u200brecurring public battles that often unfolded on social media.<\/p>\n
Musk’s alliance \u200bwith Trump followed a familiar pattern. After helping bankroll Trump’s return to the White House and serving in a senior advisory role through the administration’s DOGE initiative, Musk became one of the president’s closest corporate allies.<\/p>\n
The relationship later fractured amid disagreements over policy and spending, spilling into a public feud. Though the two have since struck a more conciliatory tone, their falling-out highlighted the increasingly blurred lines between Musk’s business empire \u200band political ambitions.<\/p>\n
Yet for many investors, concerns about Musk’s often unconventional behavior are \u200coutweighed by his track record of turning ambitious ideas into some of the world’s most valuable companies.<\/p>\n
“Elon is the Edison of our time,” JPMorgan Chase CEO Jamie Dimon said during a recent conversation \u200bwith Musk.<\/p>\n
The banker, a former adversary of Musk in a prolonged legal battle, has since become an admirer. Dimon told CNBC last year that the pair had “hugged it out,” and hailed Musk as “our \u200bEinstein.”<\/p>\n
(Reporting by Manya Saini and Niket Nishant in Bengaluru, and Mike Colias in Detroit; Editing by Noor Zainab Hussain)<\/p>\n","protected":false},"excerpt":{"rendered":"By Manya Saini and Niket Nishant June 11 (Reuters) – Few business leaders have been as deeply embedded…\n","protected":false},"author":2,"featured_media":699192,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[27],"tags":[302565,28,12,49065,11,1513],"class_list":["post-699191","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-ambitious-entrepreneur","tag-business","tag-donald-trump","tag-electric-vehicle","tag-elon-musk","tag-spacex"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/699191","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=699191"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/699191\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/699192"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=699191"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=699191"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=699191"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}