James Murdoch to replace Elon Musk as Chairman

Wanted at Tesla: A manager who can handle Elon Musk

James Murdoch 'favourite for Tesla post' | Business

Musk remarked simply that the report was "incorrect" on Twitter.

Musk must relinquish his role as chairperson under a settlement with the Securities and Exchange Commission (SEC) over his tweeting, which left open the possibility that the carmaker could appoint an existing independent director. The South African-born billionaire also had to pay a $20 million fine and submit to monitoring of his social media activity, including his Twitter account. Musk remains CEO of Tesla.

Murdoch's emergence as the front-runner for the Tesla chairman seat is a turnabout, after he was targeted for removal from Tesla's board as an independent director earlier this year by several proxy adviser groups pushing against his re-election. The numbers 420 are significant in marijuana culture - as well as in the tweet that cost Musk his chairman post to begin with.

Lachlan Murdoch, Rupert Murdoch and James Murdoch.

This news comes on the heels of word that James is stepping down after the sale of 21st Century Fox's assets to Disney wraps up.

Murdoch now serves on the boards of Twenty-First Century Fox and News Corp. Just six months ago, James was rumored to be starting a venture capital fund.

Musk agreed he would step down as chairman by mid-November but remain as chief executive officer, after he and Tesla reached a settlement with USA financial watchdog the Securities and Exchange Commission (SEC) last month in which they agreed to pay $20m each to financial regulators.

Tesla is in the process of buying land in Shanghai for its first factory outside the USA, according to people with direct knowledge of the matter, pushing ahead with plans to set up production in China after months of tumult involving CEO Elon Musk, who is stepping down as chairman.

Murdoch, who is a non-executive director of Tesla, has signaled he wants the job, the report said.

Tesla faces a crucial moment as it struggles to produce its Model 3 sedan in large volume and deliver it quickly to customers amid an ongoing cash crunch that has concerned some analysts.

Courteney Keating, Glass Lewis' research director, expressed concern that even if Mr Murdoch left Sky, he would still not be all to meet the time commitments required. Gracias is also a stakeholder in Musk's other major venture SpaceX, which makes his independence less than clear.

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