Elon Musk, known for labels such as a visionary genius, the world's richest person, a workaholic, and Silicon Valley's Iron Man, has now been tagged with another moniker: a drug addict.
As a superstar internet personality and one of the most influential tech leaders, Elon Musk's actions and words have captivated global attention. From tweeting about privatizing Tesla at $420/share to unexpectedly acquiring Twitter, Musk has repeatedly shocked the public with his unpredictable behavior and wild statements.
Musk has attributed his erratic temperament and "nonsense talk" to exhaustion, depression, and other personal issues. However, a recent exposé by The Wall Street Journal suggests that his bizarre actions might also be linked to "long-term drug use." Musk's lawyer has denied these allegations.
It's worth noting that Musk openly smoked marijuana during an interview in 2018 and was reported last year to have used ketamine to treat depression. He has even praised the benefits of ketamine on Twitter.
The Wall Street Journal pointed out that executives at Tesla and SpaceX are worried that Musk's alleged drug use could significantly impact the operations and contracts of the six companies he oversees.
Erratic Behavior and Incoherent Speech
Musk possesses a genius intellect and creativity but is also known for his unpredictable and sometimes nonsensical behavior. In 2017, people close to Musk first noticed his incoherent speech during a SpaceX event. Hundreds of SpaceX employees gathered at the company's headquarters in Hawthorne, California, eagerly awaiting Musk's speech. However, Musk's behavior was abnormal and incoherent, and after 15 minutes of rambling, SpaceX President Gwynne Shotwell intervened and took over the meeting. After the event, SpaceX executives privately expressed concerns about Musk's possible drug use, with one describing the incident as "psychotic" and "ridiculous."
This was followed by Musk's infamous tweet in 2018 about planning to take Tesla private at $420/share, which created a massive stir. Subsequently, in an interview with The New York Times, Musk tearfully talked about the immense toll leading Tesla had taken on him, and not long after, he smoked marijuana during a live show, causing Tesla's stock to plummet by $4 billion.
The Cost of "Drug Addiction"
Aside from Musk's mental health, Tesla's board and executives have noted another possible cause for his erratic behavior: "drug addiction." According to sources cited by The Wall Street Journal, Musk has frequently consumed hallucinogens, cocaine, ecstasy, and magic mushrooms at private parties around the world. He has previously admitted to having a prescription for ketamine-like drugs to treat depression and PTSD.
Last year, media reports indicated that Musk was using microdoses of ketamine to treat depression and consuming large doses at parties. After these reports, Musk tweeted about the benefits of ketamine, claiming it's a better treatment for depression than SSRIs, which he said lead to "zombification." He later admitted in another tweet to having a prescription for ketamine to treat depression and PTSD.
However, Musk's lawyer, Alex Spiro, denied that Musk is addicted to drugs, noting that Musk regularly undergoes random drug testing at SpaceX and has never failed a test.
Impact on the Business Empire and Billion-Dollar Contracts
The Wall Street Journal report highlighted that Tesla and SpaceX leadership are deeply concerned about Musk's alleged drug use, fearing it could not only harm his health but also have a significant impact on the six companies he oversees and their multibillion-dollar assets.
Insiders revealed that a former Tesla director, Linda Johnson Rice, was so worried about Musk's unpredictable behavior and actions that she chose not to run for reelection to Tesla's board in 2019.
In fact, Musk has already paid a hefty price for his "nonsense talk." Following the 2018 tweet about privatizing Tesla, the SEC launched an investigation and fined him $40 million, leading to his resignation as Tesla's chairman. Publicly smoking marijuana resulted in a $4 billion loss in Tesla's market value and issues with NASA, prompting SpaceX to spend $5 million on employee training. NASA also required SpaceX to conduct drug testing for a year.
SpaceX is currently the only U.S. company authorized to transport NASA astronauts to and from the International Space Station. According to federal contract records issued to SpaceX by NASA, the company must ensure compliance with the Drug-Free Workplace Act. The Wall Street Journal analysis suggests that illegal drug use could potentially violate federal policy, jeopardizing SpaceX's multibillion-dollar government contracts. In addition to violating federal contracts, any form of drug abuse would breach SpaceX and Tesla's company policies and raise questions about Musk's suitability as CEO.
Currently, Musk manages a vast business empire comprising six companies: Tesla, SpaceX, social media platform X, The Boring Co., Neuralink, and an artificial intelligence firm, xAI. Analysts point out that Musk's value is inextricably linked to his companies, and the increasing interconnectedness among them heightens the risk of conflicts of interest, potentially endangering investors' assets worth approximately $1 trillion, thousands of jobs, and parts of the U.S. space program.
