He admitted that he was ultimately forced to take off his shirt because the leadership environment deviated from the original mission.

Giorgio Balestrieri, the engineer in charge of Tesla’s energy trading algorithm in Europe, has just announced his departure from the company after 8 years with the company. In a public statement, he recalled his proud journey, but admitted that he was ultimately forced to take off his shirt because the leadership environment deviated from the original mission. He accused Elon Musk of “manipulating public opinion”, tolerating climate change deniers and influencing democratic institutions.

This departure, according to many observers, is not just a personal matter but reflects a rift within Tesla – where many engineers and middle managers are increasingly frustrated with the direction of leadership.

Meanwhile, Tesla is facing a double crisis in personnel and sales. In Europe, where the capital market is considered a strategic center, the company’s sales are constantly declining. In July 2025 alone, car sales fell by 40% compared to the same period last year, and in France the figure was even worse with a decline of more than 47% in August.

Markets such as Germany, Sweden, and the Netherlands recorded an average decrease of over 30% since the beginning of the year. This pressure comes from many sides: the fierce competition of Chinese automakers such as BYD with diverse models and lower selling prices, the change in subsidy policy that causes the cost of buying electric cars to increase, high interest rates that make consumers falter, and equally important, Elon Musk’s personal image with controversial statements.

It is known that Tesla in recent years has continuously cut personnel to reduce costs. In 2024 alone, the company has laid off more than 10% of its global workforce, or about 14,000 people. Many senior managers and veteran engineers are leaving, leaving a personnel gap that is difficult to fill in the context of Tesla’s need to stay competitive.

The harsh work culture, along with the lack of transparency in strategic direction, makes Tesla’s ability to retain talent questionable. The resignation of Balestrieri is one of many proofs of this situation.

The inevitable consequence is that Tesla’s profits and profit margins are significantly narrowed. Constantly lowering prices to maintain market share means that revenue is not enough to cover costs, while large investments in R&D, artificial intelligence and self-driving continue to eat up resources. Although Tesla is expected to increase production capacity at its Berlin plant in the second half of 2025, and plans to launch improved versions of the Model 3 and Model Y to regain traction, the competitive challenge from BYD and European automakers is increasingly fierce.

The Tesla brand — once seen as a symbol of clean energy and innovation — is now shrouded in leadership controversies, internal culture, and frustration among both employees and consumers. As veteran leaders no longer find motivation in the mission they once believed in, Tesla should probably ask itself: can it maintain its leadership in the electric vehicle era, if not start by restoring its own inner self-belief?