Tesla Stock Jumps Nearly 6% as Elon Musk Vows to Refocus on Tesla, xAI, and X Before Starship Launch

Tesla (TSLA) shares surged almost 6% on Tuesday after CEO Elon Musk pledged to be “super focused” on his core businesses — Tesla, xAI, and X (formerly Twitter) — following a service outage and ahead of a critical SpaceX Starship launch.

Musk Recommits to His Tech Companies After Service Disruption

In a post on X, Musk wrote:

“As evidenced by the uptime issues this week, major operational improvements need to be made… I will be spending 24/7 at work.”

He emphasized the need to stay focused on:

Tesla, the electric vehicle and clean energy leader

X, his social media platform

xAI, his artificial intelligence startup

X Platform Faces Technical Setbacks

Over the weekend, X experienced an outage that affected thousands of users, as reported by DownDetector. Earlier in the week, a data center failure also disrupted the platform. These incidents are part of a series of technical issues that have plagued X since Musk acquired it in 2022.

Musk Steps Back from Politics to Prioritize Business

Musk has indicated a shift away from political involvement, which previously included:

Billions in campaign donations

Direct support for Donald Trump’s 2024 campaign

A role overseeing the Department of Government Efficiency

According to a recent Washington Post report, Musk has grown disillusioned with politics and intends to focus on running his companies full time.

Speaking at the Qatar Economic Forum, Musk stated he plans to “spend a lot less” on campaign donations going forward.

High Stakes for Upcoming SpaceX Starship Launch

These developments come just before SpaceX’s next Starship test flight, scheduled for Tuesday evening. The pressure is on after two previous Starship failures in January and March. Musk announced an all-hands livestream on X at 1 p.m. to build anticipation.

Tesla Still Faces Market Challenges, Especially in Europe

While Tesla’s stock price rose, the company continues to face sales challenges in international markets:

In April 2025, Tesla sold just 7,261 vehicles in Europe, a 49% drop year-over-year, according to the European Automobile Manufacturers’ Association.

In addition, Tesla has seen brand backlash, including protests at showrooms, due to Musk’s controversial political activities.

Final Thoughts: A Pivotal Reset for Elon Musk and Tesla?

With Musk vowing to refocus on technology, innovation, and operations, investors are cautiously optimistic. The next few weeks — especially the Starship launch and xAI developments — will be key in determining whether Musk’s renewed focus can turn momentum into long-term stability for Tesla and his broader tech empire.

Gain a competitive edge with up-to-date market intelligence from InfoFinance – follow us for the latest insights.

Source: CNBC