Elon Musk reignited his feud with Bill Gates on X, suggesting Gates’ short position against Tesla could bankrupt him if Tesla becomes the world’s most valuable company. Musk referenced Gates’ alleged $1.5 billion loss on the short and criticized his hypocrisy regarding environmental causes.
Elon Musk reignited his feud with Bill Gates by posting on X that Gates could face bankruptcy if Tesla becomes the world’s most valuable company. This comment stems from Gates’ past short position against Tesla, which reportedly resulted in a $1.5 billion loss. While Tesla has made significant strides, it currently trails Apple in market capitalization, necessitating a nearly 200% growth for Tesla to claim the top spot.
In the post on X, Musk wrote “If Tesla does become the world’s most valuable company by far, that short position will bankrupt even Bill Gates”.
Short position here refers to a stock market strategy where an investor borrows shares of a stock they do not own, sells them on the open market, and aims to buy them back later at a lower price. The goal is to profit from a decline in the stock’s price.
Bill Gates’ short position in Tesla
The feud between Elon Musk and Bill Gates originates from Gates’ reported short position against Tesla stock. In interviews earlier in 2022, Gates revealed that he had placed a bet against Tesla. According to Walter Isaacson’s 2023 biography of Musk, this position allegedly cost Gates a $1.5 billion loss.
Recently, an X user Teslaconomics posted an old tweet of the Tesla CEO where he said “Taking out a short position against Tesla, as Gates did, results in the highest return only if a company goes bankrupt! Gates placed a massive bet on Tesla dying when our company was at one of its weakest moments several years ago. Such a big short position also drives the stock down for everyday investors.”
Adding further, he said “To the best of my knowledge, Gates *still* has that massive bet against Tesla on the table. Someone should ask him if he does. The lack of self-awareness and hypocrisy of Gates who had the nerve to ask me to donate to his mostly window-dressing environmental causes, while simultaneously aiming to make $500M from Tesla’s demise”.
Resharing the tweet, the user wrote “This is why it’s a big “fuck you” to Bill Gates since day 1 $TSLA”.
For those unaware, this year, Tesla’s stock has soared 56.91% fueled by President-elect Donald Trump’s 2024 election victory and Elon Musk’s strengthening ties with Trump.
Tesla shares surged to record high of $400 as Goldman Sachs lifted price target.
