Tesla Vice President Raj Jegannathan has announced his departure from the company after 13 years, marking the latest high-profile exit in a string of departures that have plagued Tesla's sales team. Jegannathan took over as head of North American sales last year, succeeding Troy Jones, who was dismissed in July 2025 amidst demand problems and a decline in annual revenue.
The departure adds to concerns about talent loss at Tesla, which has seen numerous senior leaders leave the company since April 2024 layoffs that eliminated over 10% of its workforce. With annual revenue declining 3% in 2025 for the first time on record, Tesla faces significant challenges, including an aging vehicle lineup and consumer backlash against CEO Elon Musk's political activities.
The North America sales leadership position has become a revolving door at Tesla, with Jegannathan's exit raising concerns about demand and the ability of whoever comes next to fill the role effectively. Despite his background in IT and AI infrastructure, Jegannathan was tasked with leading sales due to perceived operational issues rather than strategic ones, leaving him with significant pressure.
The departure highlights the difficulties faced by Tesla in maintaining a stable leadership structure amidst ongoing challenges in the automotive industry. As the company navigates these complexities, it remains to be seen how Tesla will address its sales struggles and maintain momentum in the market.
This latest departure is a significant blow to Tesla's already struggling sales team, highlighting the difficulties of maintaining stability in leadership roles amidst operational challenges. The fact that Jegannathan was tasked with leading sales due to perceived operational issues rather than strategic ones suggests that Tesla may be struggling to find its footing in addressing demand problems and consumer concerns.
