Facebook Co-Founder Calls Tesla “the Next Enron” as Elon Musk Faces Criticism

Facebook Co-Founder Compares Tesla To Enron Amid Escalating Attacks

As Tesla faces a turbulent month, Facebook co-founder Dustin Moskovitz has escalated his attacks on the Elon Musk-led automobile company, likening it to the infamous energy giant Enron. Moskovitz, who previously accused Musk of delaying the development of electric vehicles by “overpromising,” took to Meta’s Thread on Wednesday with fresh criticism.

In his post, Moskovitz alleged that Tesla has misled consumers “on a massive scale,” specifically regarding their Full-Self Driving (FSD) software and advertised vehicle ranges. Instead of directly addressing Moskovitz’s allegations, Musk responded with personal attacks on the Facebook co-founder, using insults and a slur.

Musk later apologized for his choice of words, stating, “What I meant to say is that he is a pompous idiot whose head is so far up his own a*s that he is legally blind. I wish him the best and hope that someday we can be friends.”

Moskovitz Compares Tesla To Enron

In his social media post, Moskovitz acknowledged the seriousness of his accusations against Tesla, comparing the situation to Enron’s downfall in 2001 due to a massive accounting fraud scandal. Enron’s once soaring reputation crumbled as its creative accounting practices concealed billions in debt and inflated revenue streams.

Moskovitz shared Tesla-generated graphs to support his claims of large-scale deception, particularly regarding FSD technology. Despite his prediction of jail time for Tesla executives, there are currently no criminal charges against the company or its leadership for consumer or securities fraud.

While Tesla has faced lawsuits and regulatory probes related to FSD technology and vehicle range, no legal challenges specifically target the company for misleading consumers about FSD mileage data. Some researchers even suggest that Tesla’s self-driving technology could significantly reduce road accidents.

NHTSA Investigates Autopilot Safety Concerns

The National Highway Traffic Safety Administration (NHTSA) announced an investigation into whether Tesla’s December recall of 2 million vehicles adequately addressed prior safety concerns with the Autopilot software. The SEC also launched a probe into Tesla’s marketing of its driver-assistance software in 2023.

Drivers have accused Tesla of inflating vehicle range, leading to a class-action lawsuit that was dismissed in favor of individual arbitrations. Additionally, the company’s 2023 Q3 earnings report revealed a subpoena from the Department of Justice related to vehicle range information.

Moskovitz’s criticism of Tesla extends beyond its recent controversies, as he has questioned the valuations of both Tesla and SpaceX. His criticism intensified after Musk endorsed an antisemitic post, leading Moskovitz to call for Musk’s resignation from all his executive positions.

As the feud between Moskovitz and Musk continues to unfold, the future of Tesla and its leadership remains uncertain amidst ongoing legal challenges and regulatory scrutiny.