Friday, July 4, 2014

Elon Musk Accelerates the Inevitable



Sustainable energy, internet, and multi-planetary life are most likely to affect the future, Elon Musk felt, in a positive way. AI and rewriting genetics are two other areas, about which he wasn't so sure, yet.  Apparently he came up with these in the shower, and over time he became more emboldened to pursue them.

Tesla represented the acceleration of the inevitable, which is electric transportation.  In his soft spoken manner, Musk is revolutionary and philosophical à la `The Matrix.  Moreover, he appreciated the fact that what his automobile company can spawn in other automobile companies, such as Nissan with Leaf, will be more game changing than his own cars.  Still he was not only confident about the electric car, when he first conceived of it as a sophomore in physics class, but also he thought the concept was rather obvious.

Larry Page, co-founder and CEO of Google, thought about Musk, in the same breath as weighing what will help humankind most.  In short, Page reasoned that it was better to bequeath his wealth to another corporation, rather than a charity, because there was greater possibility for tectonic innovations.  He liked the notion of interplanetary travel, which in Musk's corporate milieu is SpaceX.  

Then consider Warren Buffet handing over $30 billion to the Gates Foundation.  What remarkable outcomes can a company like Tesla, SpaceX, or any other company in Musk's mind generate from that kind of cash?  

Musk recently spoke to shareholders of Tesla, and they evidently squirmed when he said profit was not the priority of the company.  So we know what was, instead.  But it's clear that Musk has to keep profit firmly in mind, because that is what allows him to realize his vision for humankind.  Perhaps to Page's point, it's a successful business model that under girds the philanthropic pursuit.  So I don't buy the interviewer's remark that wealth is simply a byproduct for Musk, but rather it is the platform or the springboard.  

Thank you for reading, and let me know what you think!

Ron Villejo, PhD

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