Tesla demotes CEO and co-founder to President of Technology

Tesla has demoted CEO Martin Eberhard, replacing him with interim CEO Michael Marks, with the company seeking a permanent replacement for Eberhard who will be moving to a role defined as "President of Technology." It's hard to pin down a precise reason for the demotion: the only negative news to come out of the Tesla camp is the "scaling back" of the roadster's battery capabilities back in April. Perhaps we'll know more on Monday, when the company makes an official statement on Eberhard's change in role.

[Via Autoblog Green]

[DickHardknocks @ Aug 13th 2007 1:30AM]

You ask for Electric Cars and they give you a 2-seater coupe.

Call me when Electric cars are the size of a 300 Hemi-C.

[Matt @ Aug 13th 2007 1:50AM]

/me points to the GM H2H, a fuel-cell powered Hummer H2 introduced in 2004.

It was an experimental vehicle with a range of only 60 miles per tank of hydrogen fuel. I think a total of 16 of them were produced.

Plug-in electric is nice, but hydrogen fuel-cell electric is where it's at, especially when you can plug that in, too, if you want/need to.

[srilyk @ Aug 13th 2007 10:22AM]

actually anything involving hydrogen fuel (so far) is only a pipe dream...

Until they can convert 02 to hydrogen for free.

[srilyk @ Aug 13th 2007 10:39AM]

*make that H20

[why not the LS2LS7? @ Aug 13th 2007 2:01AM]

Eberhard is very enthusiastic but probably over optimistic. And I don't just mean on range of the roadster, but the viability of their other products.

See the previous conversations on here. It doesn't take much math to show that Tesla is in the same corner as other electric car manufacturers.

Current battery technology doesn't allow making affordable, practical electric cars. A company that predicates their existence on the idea that they are going to provide them starts out in a difficult spot.

I have to say though, a lot can change in a year. I've made no secret of my view that battery technology will not meet the levels of performance (range, price, load capacity) that consumers demand. But from what I've seen, things in my (extremely liberal) area have changed in the last year. Heck, the number of bicyclists has seemingly tripled! If people will take to bikes, they're probably also ready to open their minds to the idea that they don't need a 3 ton vehicle that seats 7 and has a 350 mile range to get groceries from Safeway. If my area is changing, the rest of the country will possibly follow some day.

Unfortunately, there's little a company can do to change people's minds much quicker and by the time people are ready for the electric car (or even mostly electric) in a couple years, I have a feeling the majors might already have moved into Tesla's territory. You may put down GM, but they likely have the resources and know-how to best Tesla in a market battle.

It kinda sucks, Tesla may have been on the right track all along and still not reap the rewards.

-it's doable

[Frankenstein Black @ Aug 13th 2007 10:55AM]

"You may put down GM, but they likely have the resources and know-how" Yes, but do they have the WILL? I say NO! Sad to say but Toyota (or some other Japanese car maker) will best GM once more.

You see the US car manufacturers keep thinking like there golf buddies the Oiligarchs, forgetting that unlike Big Oil there is no Monopoly in the automotive industry. Now we all know that they try to "help out" as much as possible with a constant bombardment and disproportionate amount of BIG SUV advertisements (i.e. we will tell you what to buy) but they do this to their own detriment.

Meanwhile the consumer's needs are being met elsewhere from the likes of companies like Toyota, who by the way continue to bust the myth that a hybrid auto has to be a cramped econo box. I do agree that all eyes are on battery tech and many breakthroughs are around the corner (less than 2 years out). Couple this with the improvements in solar panels and the goal of an ENERGY POSITIVE auto will be had in our lifetime!

Yea KEEP PUSHING Tesla, even if you not around 100 years from now your deeds will go down in history as "landscape changers" insuring your historical immortality!!

[shelterpaw @ Aug 13th 2007 11:14AM]

Martin Eberhard was a co-founder and it's quite common for them to step down to let someone with more experience run the company. Now he can focus on more technical things.

[Kam S @ Aug 13th 2007 4:34PM]

Agreed on this point. The more accurate spin on this is as a positive sign of the company preparing to scale to the next level. This is typically when a new management skill-set is needed post-startup. This isn't a reflection of the founder performing poorly, but in fact a sign he's doing exactly what he should be.

[Alienhead @ Aug 13th 2007 12:16PM]

Wow...That band really went corporate.

[Magallanes @ Aug 13th 2007 2:13PM]

Battery troubles?, just use a tesla coil!.

:3

[Las Vegas Larry @ Aug 13th 2007 3:52PM]

Odds are, the CEO is stepping down (voluntarily?) to make room for a professional rainmaker. Once a company gets to a certain point in its growth, the CEO's job is to become a full-time fund-raiser. Mr. Eberhard is probably better suited to champion the technology.

As for the technology, I think a 100-200 mile range would be perfect for most suburban drivers, especially if recharge times could be dropped below an hour. I drive 15 miles to work, and rarely go out of town. On those occasions where extra range is required, I'd happily rent a car.

[Rob @ Aug 14th 2007 3:11PM]

Actually battery technology is on the cusp of great advances. Wait for that to happen and you'll be too late. Tesla is in a good place re battery technology. Within a decade big rigs will be hybrid electric.