Ross Gerber, President and CEO of Gerber Kawasaki Wealth and Investment Management and a Tesla Inc TSLA investor, reflected on Elon Musk‘s request for a 25% voting stake in the company on Wednesday.
What Happened: In an interview with Yahoo Finance, Gerber expressed his view, stating, “I think he should buy the stock. I think he should use his money and buy Tesla for like $25 or $30 billion like the rest of us.”
He found the idea of shareholders granting Musk $30 billion worth of stock confusing, emphasizing that, as the CEO, Musk’s “fiduciary duty” is to transform Tesla into an AI/robotics company—a task for which he has already been compensated $50 billion.
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Musk’s Stance: Musk mentioned on X on Monday that he feels “uncomfortable” steering Tesla toward becoming a leader in AI/robotics without possessing around 25% voting control. He indicated a preference for developing products outside of Tesla unless he attained this level of control.
Gerber’s Perspective: Despite Musk’s desire for more influence, Gerber argued that additional control seems unnecessary, given that Musk is currently the sole influential figure at Tesla, with his friends and family occupying positions on the board of directors.
Gerber stated, “Nobody has any influence over Tesla except Elon, and so, I don’t know what he is talking about. Tesla is the closest thing to a private company as a public company.”
Musk’s Stake: As of now, Musk holds over 411 million shares in Tesla, constituting approximately a 13% stake.
Price Action: According to data from Benzinga Pro, Tesla shares closed up 0.5% at $219.91 on Tuesday.
Read Next: Tesla Cuts Model Y Costs By As Much As 5000 Euros In Germany
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