Elon Musk

by Ashlee Vance · Finished December 21, 2024

Worldview & Resolve

One thing that Musk holds in the highest regard is resolve, and he respects people who continue on after being told no. Dozens of other journalists had asked him to help with a book before, but I’d been the only annoying asshole who continued on after Musk’s initial rejection, and he seemed to like that.

…this factory was not making one rocket at a time. No. It was making many rockets—from scratch. The factory was a giant, shared work area.

“I think there are probably too many smart people pursuing Internet stuff, finance, and law,” Musk said on the way. “That is part of the reason why we haven’t seen as much innovation.”

“The best minds of my generation are thinking about how to make people click ads,” Jeff Hammerbacher, an early Facebook engineer, told me. “That sucks.”

…fresh out of college, he founded a company called Zip2—a primitive Google Maps meets Yelp. That first venture ended up a big, quick hit. Compaq bought Zip2 in 1999 for $307 million. Musk made $22 million from the deal and poured almost all of it into his next venture, a start-up that would morph into PayPal. As the largest shareholder in PayPal, Musk became fantastically well-to-do when eBay acquired the company for $1.5 billion in 2002. Instead of hanging around Silicon Valley and falling into the same funk as his peers, however, Musk decamped to Los Angeles. The conventional wisdom of the time said to take a deep breath and wait for the next big thing to arrive in due course. Musk rejected that logic by throwing $100 million into SpaceX, $70 million into Tesla, and $10 million into SolarCity.

What Musk has developed that so many of the entrepreneurs in Silicon Valley lack is a meaningful worldview. He’s the possessed genius on the grandest quest anyone has ever concocted. He’s less a CEO chasing riches than a general marshaling troops to secure victory. Where Mark Zuckerberg wants to help you share baby photos, Musk wants to … well … save the human race from self-imposed or accidental annihilation.

When Musk came into the meeting room where I’d been waiting, I noted how impressive it was for so many people to turn up on a Saturday. Musk saw the situation in a different light, complaining that fewer and fewer people had been working weekends of late. “We’ve grown fucking soft,” Musk replied. “I was just going to send out an e-mail. We’re fucking soft.”

“He does what he wants, and he is relentless about it. It’s Elon’s world, and the rest of us live in it.”

At around age fourteen, Musk had a full-on existential crisis. He tried to deal with it like many gifted adolescents do, turning to religious and philosophical texts. Musk sampled a handful of ideologies and then ended up more or less back where he had started, embracing the sci-fi lessons…

“He points out that one of the really tough things is figuring out what questions to ask,” Musk said. “Once you figure out the question, then the answer is relatively easy. I came to the conclusion that really we should aspire to increase the scope and scale of human consciousness in order to better understand what questions to ask.” The teenage Musk then arrived at his ultralogical mission statement. “The only thing that makes sense to do is strive for greater collective enlightenment,” he said.

Pretoria & Roots

…the white Afrikaner culture so prevalent in Pretoria and the surrounding areas. Hypermasculine behavior was celebrated and tough jocks were revered. While Musk enjoyed a level of privilege, he lived as an outsider whose reserved personality and geeky inclinations ran against the prevailing attitudes of the time. His notion that something about the world had gone awry received constant reinforcement, and Musk, almost from his earliest days, plotted an escape from his surroundings and dreamed of a place that would allow his personality and dreams to flourish. He saw America in its most clichéd form, as the land of opportunity and the most likely stage for making the realization of his dreams possible.

Throughout his childhood, boys teased Musk because of his unusual name.

…the family sold their house and dance and chiropractic practices and decided to move to South Africa—a place Haldeman had never been. Scott Haldeman remembers helping his father disassemble the family’s Bellanca Cruisair (1948) airplane and put it into crates before shipping it to Africa. Once in South Africa, the family rebuilt the plane and used it to scour the country for a nice place to live, ultimately settling on Pretoria…

The family’s spirit for adventure seemed to know no bounds. In 1952, Joshua and Wyn made a 22,000-mile round-trip journey in their plane, flying up through Africa to Scotland and Norway. Wyn served as the navigator and, though not a licensed pilot, would sometimes take over the flying duties. The couple topped this effort in 1954, flying 30,000 miles to Australia and back.

…they’re believed to be the only private pilots to get from Africa to Australia in a single-engine plane.*

Haldemans had a laissez-faire approach to raising their children, which would extend over the generations to Musk. Their kids were never punished, as Joshua believed they would intuit their way to proper behavior. When mom and dad went off on their tremendous flights, the kids were left at home. Scott Haldeman can’t remember his father setting foot at his school a single time even though his son was captain of the rugby team and a prefect.

“We were left with the impression that we were capable of anything. You just have to make a decision and do it. In that sense, my father would be very proud of Elon.”

…throughout his childhood, Elon heard many stories about his grandfather’s exploits and sat through countless slide shows that documented his travels and trips through the bush.

Elon buys into the idea that his unusual tolerance for risk may well have been inherited directly from his grandfather. Many years after the last slide show, Elon tried to find and purchase the red Bellanca plane but could not locate it.

Childhood & School

Elon seemed to drift off into a trance at times. People spoke to him, but nothing got through when he had a certain, distant look in his eyes. This happened so often that Elon’s parents and doctors thought he might be deaf. “Sometimes, he just didn’t hear you,” said Maye. Doctors ran a series of tests on Elon, and elected to remove his adenoid glands, which can improve hearing in children. “Well, it didn’t change,” said Maye. Elon’s condition had far more to do with the wiring of his mind than how his auditory system functioned. “He goes into his brain, and then you just see he is in another world,” Maye said. “He still does that. Now I just leave him be because I know he is designing a new rocket or something.”

“It didn’t endear him to his peers.”

For Musk, these pensive moments were wonderful. At five and six, he had found a way to block out the world and dedicate all of his concentration to a single task.

The most striking part of Elon’s character as a young boy was his compulsion to read. From a very young age, he seemed to have a book in his hands at all times. “It was not unusual for him to read ten hours a day,” said Kimbal. “If it was the weekend, he could go through two books in a day.” The family went on numerous shopping excursions in which they realized mid-trip that Elon had gone missing. Maye or Kimbal would pop into the nearest bookstore and find Elon somewhere near the back sitting on the floor and reading in one of his trancelike states.

“At one point, I ran out of books to read at the school library and the neighborhood library,” Musk said. “This is maybe the third or fourth grade. I tried to convince the librarian to order books for me. So then, I started to read the Encyclopaedia Britannica. That was so helpful. You don’t know what you don’t know. You realize there are all these things out there.”

…life at Errol’s house seemed grand. He had plenty of books for Elon to read from cover to cover and money to buy a computer and other objects that Elon desired.

Elon and Kimbal were required to go to the sites of Errol’s engineering jobs and learn how to lay bricks, install plumbing, fit windows, and put in electrical wiring.

He would sit Elon and Kimbal down and lecture at them for three to four hours without the boys being able to respond. He seemed to delight in being hard on the boys and sucked the fun out of common childhood diversions. From time to time, Elon tried to convince his dad to move to America and often talked about his intentions to live in the United States later in life. Errol countered such dreams by trying to teach Elon a lesson. He sent the housekeepers away and had Elon do all the chores to let him know what it was like “to play American.”

…when pressed for more information, Musk dodged. “It would certainly be accurate to say that I did not have a good childhood,” he said. “It may sound good. It was not absent of good, but it was not a happy childhood. It was like misery. He’s good at making life miserable—that’s for sure. He can take any situation no matter how good it is and make it bad. He’s not a happy man. I don’t know … fuck … I don’t know how someone becomes like he is. It would just cause too much trouble to tell you any more.” Elon and Justine have vowed that their children will not be allowed to meet Errol.

They dabbled one year in selling Easter eggs door-to-door in the neighborhood. The eggs were not well decorated, but the boys still marked them up a few hundred percent for their wealthy neighbors. Elon also spearheaded their work with homemade explosives and rockets. South Africa did not have the Estes rocket kits popular among hobbyists, so Elon would create his own chemical compounds and put them inside of canisters. “It is remarkable how many things you can get to explode,” Elon said.

Without any parents knowing, the boys picked out a spot for their arcade, got a lease, and started navigating the permit process for their business.

“South Africa was not a happy-go-lucky place, and that has an impact on you. We saw some really rough stuff. It was part of an atypical upbringing—just this insane set of experiences that changes how you view risk. You don’t grow up thinking getting a job is the hard part. That’s not interesting enough.”

Musk tumbled down the entire flight, and a handful of boys pounced on him, some of them kicking Musk in the side and the ringleader bashing his head against the ground. “They were a bunch of fucking psychos,” Musk said. “I blacked out.” Kimbal watched in horror and feared for Elon’s life. He rushed down the stairs to find Elon’s face bloodied and swollen. “He looked like someone who had just been in the boxing ring,” Kimbal said. Elon then went to the hospital. “It was about a week before I could get back to school,” Musk said. (During a news conference in 2013, Elon disclosed that he’d had a nose job to deal with the lingering effects of this beating.) For three or four years, Musk endured relentless hounding at the hands of these bullies. They went so far as to beat up a boy that Musk considered his best friend until the child agreed to stop hanging out with Musk. “Moreover, they got him—they got my best fucking friend—to lure me out of hiding so they could beat me up,” Musk said. “And that fucking hurt.”

“There were four or five boys that were considered the very brightest,” said Deon Prinsloo, who sat behind Elon in some classes. “Elon was not one of them.”

“Honestly, there were just no signs that he was going to be a billionaire,” said Gideon Fourie, another classmate. “He was never in a leadership position at school. I was rather surprised to see what has happened to him.”

During a science-class debate, Elon gained attention for railing against fossil fuels in favor of solar power—an almost sacrilegious stance in a country devoted to mining the earth’s natural resources.

There needs to be a reason for a grade. I’d rather play video games, write software, and read books than try and get an A if there’s no point in getting an A. I can remember failing subjects in like fourth and fifth grade. Then, my mother’s boyfriend told me I’d be held back if I didn’t pass. I didn’t actually know you had to pass the subjects to move to the next grade. I got the best grades in class after that.”

Canada & College

The uncle had gone to Minnesota, meaning Musk had nowhere to stay. Bags in hand, Musk headed for a youth hostel.

Musk spent the next year working a series of odd jobs around Canada. He tended vegetables and shoveled out grain bins at a cousin’s farm located in the tiny town of Waldeck. Musk celebrated his eighteenth birthday there, sharing a cake with the family he’d just met and a few strangers from the neighborhood. After that, he learned to cut logs with a chain saw in Vancouver, British Columbia. The hardest job Musk took came after a visit to the unemployment office. He inquired about the job with the best wage, which turned out to be a gig cleaning the boiler room of a lumber mill for eighteen dollars an hour. “You have to put on this hazmat suit and then shimmy through this little tunnel that you can barely fit in,” Musk said. “Then, you have a shovel and you take the sand and goop and other residue, which is still steaming hot, and you have to shovel it through the same hole you came through. There is no escape. Someone else on the other side has to shovel it into a wheelbarrow. If you stay in there for more than thirty minutes, you get too hot and die.”

Elon would read the newspaper alongside Kimbal, and the two of them would identify interesting people they would like to meet. They then took turns cold-calling these people to ask if they were available to have lunch.

Elon had never met Christie before, but he went right up to her and led her to a couch. “Then, I believe the second sentence out of his mouth was ‘I think a lot about electric cars,’” Christie said. “And then he turned to me and said, ‘Do you think about electric cars?’”

“One night he told me, ‘If there was a way that I could not eat, so I could work more, I would not eat. I wish there was a way to get nutrients without sitting down for a meal.’ The enormity of his work ethic at that age and his intensity jumped out. It seemed like one of the more unusual things I had ever heard.”

When the video game Civilization was released, the college chums spent hours building their empire, much to the dismay of Farooq’s girlfriend, who was forgotten in another room. “Elon could lose himself for hours on end,”

“When Elon gets into something, he develops just this different level of interest in it than other people. That is what differentiates Elon from the rest of humanity.”

Musk will have the occasional vodka and Diet Coke, but he’s not a big drinker and does not really care for the taste of alcohol. “Somebody had to stay sober during these parties,” Musk said. “I was paying my own way through college and could make an entire month’s rent in one night.

“Elon was the most straight-laced dude you have ever met. He never drank. He never did anything. Zero. Literally nothing.” The only time Ressi had to step in and moderate Musk’s behavior came during video game binges that could go on for days.

What truly stood out, though, was Musk’s ability to master difficult physics concepts in the midst of actual business plans. Even then, he showed an unusual knack for being able to perceive a path from a scientific advance to a for-profit enterprise.

“I really like computer games, but then if I made really great computer games, how much effect would that have on the world,” he said. “It wouldn’t have a big effect. Even though I have an intrinsic love of video games, I couldn’t bring myself to do that as a career.”

Rocket Science & Zip2

Tony Fadell, who would later drive much of the development of both the iPod and iPhone at Apple, worked at Rocket Science, as did the guys who developed the QuickTime multimedia software for Apple.

Rocket Science gave Musk a flavor for what Silicon Valley had to offer both from a talent and culture perspective. There were people working at the office twenty-four hours a day, and they didn’t think it at all odd that Musk would turn up around 5 P.M. every evening to start his second job.

A self-taught programmer, Musk fancied himself quite good at coding and assigned himself to more ambitious jobs. “I was basically trying to figure out how you could multitask stuff, so you could read video from a CD, while running a game at the same time,” Musk said. “At the time, you could do one or the other. It was this complicated bit of assembly programming.”

Leak, the former lead engineer behind Apple’s QuickTime, had overseen the hiring of Musk and marveled at his ability to pull all-nighters. “He had boundless energy,” Leak said. “Kids these days have no idea about hardware or how stuff works, but he had a PC hacker background and was not afraid to just go figure things out.”

There were no elevators, and the toilets often backed up. “It was literally a shitty place to work,” said an early employee. To get a fast Internet connection, Musk struck a deal with Ray Girouard, an entrepreneur who ran an Internet service provider operation from the floor below the Zip2 offices. According to Girouard, Musk drilled a hole in the drywall near the Zip2 door and then strung an Ethernet cable down the stairwell to the ISP.

“Sometimes we ate four meals a day at Jack in the Box,” Kimbal said. “It was open twenty-four hours, which suited our work schedule. I got a smoothie one time, and there was something in it. I just pulled it out and kept drinking. I haven’t been able to eat there since, but I can still recite their menu.”

They didn’t have the money or the inclination to get furniture. So there were just a couple of mattresses on the floor. Musk somehow managed to convince a young South Korean engineer to come work at Zip2 as an intern in exchange for room and board. “This poor kid thought he was coming over for a job at a big company,” Kimbal said. “He ended up living with us and had no idea what he was getting into.”

Musk never seemed to leave the office. He slept, not unlike a dog, on a beanbag next to his desk. “Almost every day, I’d come in at seven thirty or eight A.M., and he’d be asleep right there on that bag,” Heilman said. “Maybe he showered on the weekends. I don’t know.” Musk asked those first employees of Zip2 to give him a kick when they arrived, and he’d wake up and get back to work.

…the Musk brothers tried to make their Web service seem more important by giving it an imposing physical body. Musk built a huge case around a standard PC and lugged the unit onto a base with wheels. When prospective investors would come by, Musk would put on a show and roll this massive machine out so that it appeared like Zip2 ran inside of a mini-supercomputer.

…the investors bought into Musk’s slavish devotion to the company. “Even then, as essentially a college kid with zits, Elon had this drive that this thing—whatever it was—had to get done and that if he didn’t do it, he’d miss his shot,” Heilman said. “I think that’s what the VCs saw—that he was willing to stake his existence on building out this platform.”

Kouri also used to referee fistfights between Elon and Kimbal, in the middle of the office. “I don’t get in fights with anyone else, but Elon and I don’t have the ability to reconcile a vision other than our own,” Kimbal said. During a particularly nasty scrap over a business decision, Elon ripped some skin off his fist and had to go get a tetanus shot. Kouri put an end to the fights after that.

While Musk had excelled as a self-taught coder, his skills weren’t nearly as polished as those of the new hires. They took one look at Zip2’s code and began rewriting the vast majority of the software. Musk bristled at some of their changes, but the computer scientists needed just a fraction of the lines of code that Musk used to get their jobs done. They had a knack for dividing software projects into chunks that could be altered and refined whereas Musk fell into the classic self-taught coder trap of writing what developers call hairballs—big, monolithic hunks of code that could go berserk for mysterious reasons. The engineers also brought a more refined working structure and realistic deadlines to the engineering group. This was a welcome change from Musk’s approach, which had been to set overly optimistic deadlines and then try to get engineers to work nonstop for days on end to meet the goals. “If you asked Elon how long it would take to do something, there was never anything in his mind that would take more than an hour,” Ambras said. “We came to interpret an hour as really taking a day or two and if Elon ever did say something would take a day, we allowed for a week or two weeks.”

“Someone complained about a technical change that we wanted being impossible. Elon turned and said, ‘I don’t really give a damn what you think,’ and walked out of the meeting. For Elon, the word no does not exist, and he expects that attitude from everyone around him.” Periodically, Musk let loose on the more senior executives as well. “You would see people come out of the meetings with this disgusted look on their face,” Mohr, the salesman, said. “You don’t get to where Elon is now by always being a nice guy, and he was just so driven and sure of himself.”

They set up the mountains at a furious pace. After an hour, Russ Rive, Musk’s cousin, reached the top and proceeded to vomit. Right behind him were the rest of the cyclists. Then, fifteen minutes later, Musk became visible to the group. His face had turned purple, and sweat poured out of him, and he made it to the top. “I always think back to that ride. He wasn’t close to being in the condition needed for it,” Ambras said. “Anyone else would have quit or walked up their bike. As I watched him climb that final hundred feet with suffering all over his face, I thought, That’s Elon. Do or die but don’t give up.”

In May 1998, the two companies canceled the merger, and the press pounced, making a big deal of the chaotic bust-up. Musk urged Zip2’s board to oust Sorkin and reinstate him as CEO of Zip2. The board declined. Instead, Musk lost his chairman title, and Sorkin was replaced by Derek Proudian, a venture capitalist with Mohr Davidow. Sorkin considered Musk’s behavior through the whole affair atrocious and later pointed to the board’s reaction and Musk’s demotion as evidence that they felt the same way.

“Elon wanted to be CEO, but I said, ‘This is your first company. Let’s find an acquirer and make some money, so you can do your second, third, and fourth company.’”

Musk never entertained the idea of sticking around at Compaq. “As soon as it was clear the company would be sold, Elon was on to his next project,” Proudian said. From that point on, Musk would fight to maintain control of his companies and stay CEO. “We were overwhelmed and just thought these guys must know what they’re doing,” Kimbal said. “But they’ didn’t. There was no vision once they took over. They were investors, and we got on well with them, but the vision had just disappeared from the company.”

Employees at Zip2 would go home at night, come back, and find that Musk had changed their work without talking to them, and Musk’s confrontational style did more harm than good. “Yeah, we had some very good software engineers at Zip2, but I mean, I could code way better than them. And I’d just go in and fix their fucking code,” Musk said. “I would be frustrated waiting for their stuff, so I’m going to go and fix your code and now it runs five times faster, you idiot.

Musk had yearned to be a leader, but the people around him struggled to see how Musk as the CEO could work. As far as Musk was concerned, they were all wrong, and he set out to prove his point with what would end up being even more dramatic results.

X.com & PayPal

Musk purchased the McLaren from a seller in Florida, snatching the car away from Ralph Lauren, who had also inquired about buying it. Even very wealthy people like Lauren would tend to reserve something like a McLaren for special events or the occasional Sunday drive. Not Musk. He drove it all around Silicon Valley and parked it on the street by the X.com offices. His friends were horrified to see such a work of art covered with bird droppings or in the parking lot of a Safeway.

Musk turned to a friend in the car and said, “Watch this.” He floored the car, did a lane change, spun out, and hit an embankment, which started the car spinning in midair like a Frisbee. The windows and wheels were blown to smithereens, and the body of the car damaged. Musk again turned to his companion and said, “The funny part is it wasn’t insured.”

Musk invested about $12 million into X.com, leaving him, after taxes, with $4 million or so for personal use. “That’s part of what separates Elon from mere mortals,” said Ed Ho, the former Zip2 executive, who went on to cofound X.com. “He’s willing to take an insane amount of personal risk. When you do a deal like that, it either pays off or you end up in a bus shelter somewhere.”

…the point of being a dot-com success in 1999 was to prove yourself once, stash away your millions, and then use your credentials to talk other people into betting their money on your next venture. Musk would certainly go on to rely on outside investors, but he put major skin in the game as well.

Fricker, according to numerous people, wanted to run X.com and do so in a more conventional manner. He found Musk’s visionary statements to the press about rethinking the entire banking industry silly since the company was struggling to build much of anything. “We were out promising the sun, moon, and the stars to the media,” Fricker said. “Elon would say that this is not a normal business environment, and you have to suspend normal business thinking. He said, ‘There is a happy-gas factory up on the hill, and it’s pumping stuff into the Valley.’” Fricker would not be the last person to accuse Musk of overhyping products and playing the public, although whether this is a flaw or one of Musk’s great talents as a businessman is up for debate.

Musk ended up with a shell of a company and a handful of loyal employees. “After all that went down, I remember sitting with Elon in his office,” said Julie Ankenbrandt, an early X.com employee who stayed. “There were a million laws in place to block something like X.com from happening, but Elon didn’t care. He just looked at me and said, ‘I guess we should hire some more people.’”*

Mike Moritz, a famed investor from Sequoia Capital, backed the company nonetheless, making a bet on Musk and little else.

On the night before Thanksgiving in 1999, X.com went live to the public. “I was there until two A.M.,” Anderson said. “Then, I went home to cook Thanksgiving dinner. Elon called me a few hours later and asked me to come into the office to relieve some of the other engineers. Elon stayed there forty-eight straight hours, making sure things worked.”

Musk did away with niggling fees and overdraft penalties. In a very modern twist, X.com also built a person-to-person payment system in which you could send someone money just by plugging their e-mail address into the site. The whole idea was to shift away from slow-moving banks with their mainframes taking days to process payments and to create a kind of agile bank account where you could move money around with a couple of clicks on a mouse or an e-mail.

Max Levchin and Peter Thiel had been working on a payment system of their own at their start-up called Confinity. The duo actually rented their office space—a glorified broom closet—from X.com and were trying to make it possible for owners of Palm Pilot handhelds to swap money via the infrared ports on the devices.

“It was this mass of adolescent men that worked so hard,” Ankenbrandt said. “It stunk so badly in there. I can still smell it—leftover pizza, body odor, and sweat.”

“It was like the Internet version of making it rain at a strip club,” said Jeremy Stoppelman, an X.com engineer who went on to become the CEO of Yelp. “You gave away money as fast as you could.” The race to win Internet payments gave Musk a chance to show off his quick thinking and work ethic. He kept devising plans to counter the advantage PayPal had established on auction sites like eBay. And he rallied the X.com employees to implement the tactics as fast as possible using brute-force appeals to their competitive natures. “There really wasn’t anything suave about him,” Ankenbrandt said. “We all worked twenty hours a day, and he worked twenty-three hours.”

…the teams could never quite see eye to eye. Musk kept championing the X.com brand, while most everyone else favored PayPal. More fights broke out over the design of the company’s technology infrastructure. The Confinity team led by Levchin favored moving toward open-source software like Linux, while Musk championed Microsoft’s data-center software as being more likely to keep productivity high.

Most of the engineers were ordered to start work designing a new system, which distracted key technical personnel and left X.com vulnerable to fraud. “We were losing money hand over fist,” said Stoppelman. As X.com became more popular and its transaction volume exploded, all of its problems worsened. There was more fraud. There were more fees from banks and credit card companies. There was more competition from start-ups. X.com lacked a cohesive business model to offset the losses and turn a profit from the money it managed.

What followed was one of the nastiest coups in Silicon Valley’s long, illustrious history of nasty coups.

“It was shocking, but I will give Elon this—I thought he handled it pretty well,” Justine said. For a brief period, Musk tried to fight back. He urged the board to reconsider its decision. But when it became clear that the company had already moved on, Musk relented. “I talked to Moritz and a few others,” Musk said. “It wasn’t so much that I wanted to be CEO but more like, ‘Hey, I think there are some pretty important things that need to happen, and if I’m not CEO, I’m not sure they are going to happen.’ But then I talked to Max and Peter, and it seemed like they would make these things happen. So then, I mean, it’s not the end of the world.”

“Elon was sort of a rock star in my view. I was very vocal about how I thought it was bullshit. But I knew fundamentally that the company was doing well. It was a rocket ship, and I wasn’t going to leave.” Stoppelman, then twenty-three, went into a conference room and tore into Thiel and Levchin. “They let me vent it all out, and their reaction was part of the reason I stayed.”

Thiel rebranded X.com as PayPal. Musk rarely lets a slight go unpunished. Throughout this ordeal, however, he showed incredible restraint. He embraced the role of being an advisor to the company and kept investing in it, increasing his stake as PayPal’s largest shareholder. “You would expect someone in Elon’s position to be bitter and vindictive, but he wasn’t,” said Botha. “He supported Peter. He was a prince.”

…his role as its largest shareholder, the hiring of a lot of the top talent, the creation of a number of the company’s most successful business ideas, and his time as CEO when the company went from sixty to several hundred employees. Almost everyone I interviewed from the PayPal days leaned toward agreeing with Musk’s overall assessment.

But these same people reached another consensus, saying that Musk had mishandled the branding, technology infrastructure, and fraud situations. “I think it would have killed the company if Elon had stayed on as CEO for six more months,”

The stronger critique of Musk during this period of his life was that he had succeeded to a large degree despite himself. Musk’s traits as a confrontational know-it-all and his abundant ego created deep, lasting fractures within his companies.

Mars Vision

Musk often talked fondly about Alexander the Great, and Justine saw him as her own conquering hero. “He wasn’t afraid of responsibility,” she said. “He didn’t run from things. He wanted to get married and have kids early on.” Musk also exuded a confidence and passion that made Justine think life with him would always be okay. “Money is not his motivation, and, quite frankly, I think it just happens for him,” Justine said. “It’s just there. He knows he can generate it.”

While in Africa, Musk contracted the most virulent version of malaria—falciparum malaria—which accounts for the vast majority of malaria deaths. Musk returned to California in January, which is when the illness took hold. He started to get sick and was bedridden for a few days before Justine took him to a doctor who then ordered that Musk be rushed in an ambulance to Sequoia Hospital in Redwood City.* Doctors there misdiagnosed and mistreated his condition to the point that Musk was near death. “Then, there happened to be a guy visiting from another hospital who had seen a lot more malaria cases,” Musk said. He spied Musk’s blood work in the lab and ordered an immediate maximum dosage of doxycycline, an antibiotic. The doctor told Musk that if he had turned up a day later, the medicine likely would no longer have been effective. Musk spent ten agonizing days in the intensive care unit. The experience shocked Justine. “He’s built like a tank,” she said. “He has a level of stamina and an ability to deal with levels of stress that I’ve never seen in anyone else. To see him laid low like that in total misery was like a visit to an alternate universe.” It took Musk six months to recover. He lost forty-five pounds over the course of the illness and had a closet full of clothes that no longer fit. “I came very close to dying,” Musk said. “That’s my lesson for taking a vacation: vacations will kill you.”

“We’re all hanging out in this cabana at the Hard Rock Cafe, and Elon is there reading some obscure Soviet rocket manual that was all moldy and looked like it had been bought on eBay,” said Kevin Hartz, an early PayPal investor. “He was studying it and talking openly about space travel and changing the world.”

What stunned Robert Zubrin, the head of the group, was the reply from someone named Elon Musk, whom no one could remember inviting. “He gave us a check for five thousand dollars,” Zubrin said. “That made everyone take notice.”

“He said, ‘The logical thing to happen next is solar, but I can’t figure out how to make any money out of it,’” said George Zachary, the investor and close friend of Musk’s, recalling a lunch date at the time. “Then he started talking about space, and I thought he meant office space like a real estate play.” Musk had actually started thinking bigger than the Mars Society. Rather than send a few mice into Earth’s orbit, Musk wanted to send them to Mars.

Jeff Skoll, another one of Musk’s friends who made a fortune at eBay, pointed out that the fornicating mice would need a hell of a lot of cheese and bought Musk a giant wheel of Le Brouère, a type of Gruyère. Musk did not mind becoming the butt of cheese jokes. The more he thought about space, the more important its exploration seemed to him.

The main thing troubling the space experts was Musk’s budget. Following the salons, it seemed like Musk wanted to spend somewhere between $20 million and $30 million on the stunt, and everyone knew that the cost of a rocket launch alone would eat up that money and then some. “In my mind, you needed two hundred million dollars to do it right,” Bearden said. “But people were reluctant to bring too much reality into the situation too early and just get the whole idea killed.”

He also plotted a trip to Russia to find out exactly how much a launch would cost. Musk intended to buy a refurbished intercontinental ballistic missile, or ICBM, from the Russians and use that as his launch vehicle.

Ressi had been playing the role of Musk’s guardian and trying to ascertain whether his best friend had started to lose his mind. Compilation videos of rockets exploding were made, and interventions were held with Musk’s friends trying to talk him out of wasting his money.

The appointments all seemed to go the same way, following Russian decorum. The Russians, who often skip breakfast, would ask to meet around 11 A.M. at their offices for an early lunch. Then there would be small talk for an hour or more as the meeting attendees picked over a spread of sandwiches, sausages, and, of course, vodka. At some point during this process, Griffin usually started to lose his patience. “He suffers fools very poorly,” Cantrell said. “He’s looking around and wondering when we’re going to get down to fucking business.” The answer was not soon. After lunch came a lengthy smoking and coffee-drinking period. Once all of the tables were cleared, the Russian in charge would turn to Musk and ask, “What is it you’re interested in buying?” The big windup may not have bothered Musk as much if the Russians had taken him more seriously. “They looked at us like we were not credible people,” Cantrell said. “One of their chief designers spit on me and Elon because he thought we were full of shit.”

Musk sat in the row in front of them, typing on his computer. “We’re thinking, Fucking nerd. What can he be doing now?” At which point Musk wheeled around and flashed a spreadsheet he’d created. “Hey, guys,” he said, “I think we can build this rocket ourselves.”

Just the year before, Andrew Beal, a real estate and finance whiz in Texas, folded his aerospace company after having poured millions into a massive test site.

“But, Elon says, ‘No, I’m serious. I have this spreadsheet.’” Musk passed his laptop over to Griffin and Cantrell, and they were dumbfounded. The document detailed the costs of the materials needed to build, assemble, and launch a rocket.

“I said, ‘Elon, where did you get this?’” Cantrell said. Musk had spent months studying the aerospace industry and the physics behind it. From Cantrell and others, he’d borrowed Rocket Propulsion Elements, Fundamentals of Astrodynamics, and Aerothermodynamics of Gas Turbine and Rocket Propulsion, along with several more seminal texts.

Musk knew he had found someone who really knew the ins and outs of making rockets. After that, Musk introduced Mueller to the rest of his roundtable of space experts and their stealthy meetings. The caliber of the people impressed Mueller, who had turned down past job offers from Beal and other budding space magnates because of their borderline insane ideas. Musk, by contrast, seemed to know what he was doing, weeding out the naysayers meeting by meeting and forming a crew of bright, committed engineers.

Instead, Musk’s rocket would be aimed at the lower end of the satellite market, and it could end up as ideal for an emerging class of smaller payloads that capitalized on the massive advances that had taken place in recent years in computing and electronics technology. The rocket would cater directly to a theory in the space industry that a whole new market might open for both commercial and research payloads if a company could drastically lower the price per launch and perform launches on a regular schedule.

Desks were interspersed around the factory so that Ivy League computer scientists and engineers designing the machines could sit with the welders and machinists building the hardware. This approach stood as SpaceX’s first major break with traditional aerospace companies that prefer to cordon different engineering groups off from each other…

SpaceX’s mission would be to emerge as the “Southwest Airlines of Space.” SpaceX would build its own engines and then contract with suppliers for the other components of the rocket. The company would gain an edge over the competition by building a better, cheaper engine and by fine-tuning the assembly process to make rockets faster and cheaper than anyone else.

SpaceX was meant to get so good at this process that it could do multiple launches a month, make money off each one, and never need to become a huge contractor dependent on government funds.

At a time when the cost of sending a 550-pound payload started at $30 million, he promised that the Falcon 1 would be able to carry a 1,400-pound payload for $6.9 million.

“I talked to people building ray guns and things in their garages. It was clear that Elon was different. He was a visionary who really understood the rocket technology, and I was impressed with him.”

From 1957 to 1966, the United States alone tried to blast more than 400 rockets into orbit and about 100 of them crashed and burned.5 The rockets used to transport things to space are mostly modified missiles developed through all of this trial and error and funded by billions upon billions of government dollars. SpaceX had the advantage of being able to learn from this past work and having a few people on staff that had overseen rocket projects at companies like Boeing and TRW. That said, the start-up did not have a budget that could support a string of explosions. At best, SpaceX would have three or four shots at making the Falcon 1 work.

…eBay made its aggressive move to buy PayPal for $1.5 billion. This deal gave Musk some liquidity and supplied him with more than $100 million to throw at SpaceX. With such a massive up-front investment, no one would be able to wrestle control of SpaceX away from Musk as they had done at Zip2 and PayPal.

SpaceX Early Culture

Elon made it clear that he did not want to talk about Nevada’s death. I didn’t understand this, just as he didn’t understand why I grieved openly, which he regarded as ‘emotionally manipulative.’ I buried my feelings instead, coping with Nevada’s death by making my first visit to an IVF clinic less than two months later. Elon and I planned to get pregnant again as swiftly as possible. Within the next five years, I gave birth to twins, then triplets.” Later, Justine chalked up Musk’s reaction to a defense mechanism that he’d learned from years of suffering as a kid.

Brown—or MB, as everyone called her—became Musk’s loyal assistant, establishing a real-life version of the relationship between Iron Man’s Tony Stark and Pepper Potts. If Musk worked a twenty-hour day, so too did Brown.

Brown played a key role in developing SpaceX’s early culture. She paid attention to small details like the office’s red spaceship trash cans and helped balance the vibe around the office.

Brown collected the weird e-mails that arrived for Musk and sent them out as “Kook of the Week” missives to make people laugh.

“She pretty much called the shots,” the technician said. “She would say, ‘This is what Elon would want.’”

Her greatest gift, though, may have been reading Musk’s moods. At both SpaceX and Tesla, Brown placed her desk a few feet in front of Musk’s, so that people had to pass her before having a meeting with him. If someone needed to request permission to buy a big-ticket item, they would stop for a moment in front of Brown and wait for a nod to go see Musk or the shake-off to go away because Musk was having a bad day.

Kevin Brogan was employee No. 23 and came from TRW, where he’d been used to various internal policies blocking him from doing work. “I called it the country club,” he said. “Nobody did anything.” Brogan started at SpaceX the day after his interview and was told to go hunting in the office for a computer to use. “It was go to Fry’s and get whatever you need and go to Staples and get a chair,” Brogan said. He immediately felt in over his head and would work for twelve hours, drive home, sleep for ten hours, and then head right back to the factory. “I was exhausted and out of shape mentally,” he said. “But soon I loved it and got totally hooked.”

Every project at Boeing felt large, cumbersome, and costly. So, when Musk came along selling radical change, Hollman bit. “I thought it was an opportunity I could not pass up,” he said. At twenty-three, Hollman was young, single, and willing to give up any semblance of having a life in favor of working at SpaceX nonstop, and he became Mueller’s second in command.

The SpaceX engineers would work for ten days straight, come back to California for a weekend, and then head back. To ease the burden of travel, Musk sometimes let them use his private jet. “It carried six people,” Mueller said. “Well, seven if someone sat in the toilet, which happened all the time.”

“There was an almost addictive quality to the experience,” Hollman said. “You’re twenty-four or twenty-five, and they’re trusting you with so much. It was very empowering.”

“Elon had pretty good patience,” Mueller said. “I remember one time we had two test stands running and blew up two things in one day. I told Elon we could put another engine on there, but I was really, really frustrated and just tired and mad and was kinda short with Elon. I said, ‘We can put another fucking thing on there, but I’ve blown up enough shit today.’ He said, ‘Okay, all right, that’s fine. Just calm down. We’ll do it again tomorrow.’” Coworkers in El Segundo later reported that Musk had been near tears during this call after hearing the frustration and agony in Mueller’s voice.

What Musk would not tolerate were excuses or the lack of a clear plan of attack.

I thought it was more important to let him know quickly what happened, but I learned it was more important to have all the information.”

When the third chamber cracked, Musk flew the hardware back to California, took it to the factory floor, and, with the help of some engineers, started to fill the chambers with an epoxy to see if it would seal them. “He’s not afraid to get his hands dirty,” Mueller said. “He’s out there with his nice Italian shoes and clothes and has epoxy all over him. They were there all night and tested it again and it broke anyway.”

With this goal looming, twelve-hour days, six days a week were considered the norm, although many people worked longer than that for extended periods of time. Respites, as far as they existed, came around 8 P.M. on some weeknights when Musk would allow everyone to use their work computers to play first-person-shooter video games like Quake III Arena and Counter-Strike against each other.

Musk—playing under the handle Random9—often won the games, talking trash and blasting away his employees without mercy. “The CEO is there shooting at us with rockets and plasma guns,” said Colonno. “Worse, he’s almost alarmingly good at these games and has insanely fast reactions. He knew all the tricks and how to sneak up on people.”

The engineer had lost his regular glasses weeks earlier when they slipped off his face and fell down a flame duct at the Texas test site. Hollman had since made do by wearing an old pair of prescription safety glasses,* but they too were ruined when he scratched the lenses while trying to duck under an engine at the SpaceX factory. Without a spare moment to visit an optometrist, Hollman started to feel his sanity fray. The long hours, the scratch, the publicity stunt—they were all too much. He vented about this in the factory one night, unaware that Musk stood nearby and could hear everything. Two hours later, Mary Beth Brown appeared with an appointment card to see a Lasik eye surgery specialist. When Hollman visited the doctor, he discovered that Musk had already agreed to pay for the surgery. “Elon can be very demanding, but he’ll make sure the obstacles in your way are removed,” Hollman said.

Gardner was having some of his academic work sponsored by Northrop Grumman. “Elon said, ‘We’ll buy them out,’” Gardner said. “So, I e-mailed him my resume at two thirty A.M., and he replied back in thirty minutes addressing everything I put in there point by point. He said, ‘When you interview make sure you can talk concretely about what you do rather than use buzzwords.’ It floored me that he would take the time to do this.”

Instead of taking the time to haggle with the other companies for right of way, the IT chief Branden Spikes, who had worked with Musk at Zip2 and PayPal, came up with a quicker, more devious solution. A friend of his worked for the phone company and drew a diagram that demonstrated a way to squeeze a networking cable safely between the electricity, cable, and phone wires on a telephone pole. At 2 A.M., an off-the-books crew showed up with a cherry picker and ran fiber to the telephone poles and then ran cables straight to the SpaceX buildings. “We did that over a weekend instead of taking months to get permits,” Spikes said. “There was always this feeling that we were facing a sort of insurmountable challenge and that we had to band together to fight the good fight.”

Part of Spikes’s duties included building custom gaming PCs for Musk’s home that pushed their computational power to the limits and needed to be cooled with water running through a series of tubes inside the machines. When one of these gaming rigs kept breaking, Spikes figured out that Musk’s mansion had dirty power lines and had a second, dedicated power circuit built for the gaming room to correct the problem. Doing this favor bought Spikes no special treatment.

He was doing the standard relationship-building exercise practiced by salespeople for centuries. Show up. Speak for a while. Feel each other out. Then, start doing business down the road. Musk was having none of it. “The guy comes in, and Elon asks him why they’re meeting,” Spikes said. “He said, ‘To develop a relationship.’ Elon replied, ‘Okay. Nice to meet you,’ which basically meant, ‘Get the fuck out of my office.’ This guy had spent four hours traveling for what ended up as a two-minute meeting.

…there were some moments where Musk went too far. The engineering corps flew into a collective rage every time they caught Musk in the press claiming to have designed the Falcon rocket more or less by himself. Musk also hired a documentary crew to follow him around for a while. This audacious gesture really grated on the people toiling away in the SpaceX factory. They felt like Musk’s ego had gotten the best of him and that he was presenting SpaceX as the conqueror of the aerospace industry when the company had yet to launch successfully.

“Many good engineers, who everyone beside ‘management’ felt were assets to the company, were forced out or simply fired outright after being blamed for things they hadn’t done. The kiss of death was proving Elon wrong about something.”

“At Boeing you could be comfortable, but that wasn’t going to happen at SpaceX,” said Walter Sims, a SpaceX tech expert who found time to get certified to dive while on Kwaj. “Every person on that island was a fucking star, and they were always holding seminars on radios or the engine. It was such an invigorating place.”

…engineers were constantly baffled by what Musk would fund and what he wouldn’t. Back at headquarters, someone would ask to buy a $200,000 machine or a pricey part that they deemed essential to Falcon 1’s success, and Musk would deny the request. And yet he was totally comfortable paying a similar amount to put a shiny surface on the factory floor to make it look nice. On Omelek, the workers wanted to pave a two-hundred-yard pathway between the hangar and the launchpad to make it easier to transport the rocket. Musk refused. This left the engineers moving the rocket and its wheeled support structure in the fashion of the ancient Egyptians. They laid down a series of wooden planks and rolled the rocket across them, grabbing the last piece of wood from the back and running it forward in a continuous cycle.

Time and again, the rocket would get marched out to the launchpad and hoisted vertical for a couple of days, while technical and safety checks would reveal a litany of new problems. The engineers worked on the rocket for as long as they could before laying it horizontal and marching it back to the hangar to avoid damage from the salty air. Teams that had worked separately for months back at the SpaceX factory—propulsion, avionics, software—were thrust together on the island and forced to become an interdisciplinary whole. The sum total was an extreme learning and bonding exercise that played like a comedy of errors. “It was like Gilligan’s Island except with rockets,” Hollman said.

…it turned out that the b-nut had almost certainly cracked due to corrosion from the months in Kwaj’s salty atmosphere. “The rocket was literally crusted with salt on one side, and you had to scrape it off,” Mueller said. “But we had done a static fire three days earlier, and everything was fine.” SpaceX had tried to save about fifty pounds of weight by using aluminum components instead of stainless steel.

Years later, a number of SpaceX’s executives still agonize over the way Hollman and his team were treated. “They were our best guys, and they kind of got blamed to get an answer out to the world,” Mueller said. “That was really bad. We found out later that it was dumb luck.”*

To the extent that the financial situation unnerved Musk, he rarely if ever let it show to employees. “Elon did a great job of not burdening people with those worries,” said Spikes. “He always communicated the importance of being lean and of success, but it was never ‘if we fail, we’re done for.’ He was very optimistic.”

Tesla Origins

Straubel constructed a large chemistry lab in the basement of his family’s home that included fume hoods and chemicals ordered, borrowed, or pilfered. At thirteen, Straubel found an old golf cart at the dump. He brought it back home and restored it to working condition, which required him to rebuild the electric motor. It seemed that Straubel was always taking something apart, sprucing it up, and putting it back together. All of this fit into the Straubel family’s do-it-yourself traditions. In the late 1890s Straubel’s great-grandfather started the Straubel Machine Company, which built one of the first internal combustion engines in the United States and used it to power boats.

There was no clean-technology movement at this time, but there were companies dabbling with new uses for solar power and electric vehicles. Straubel ended up hunting down these startups, hanging out in their garages and pestering the engineers. He began tinkering once again on his own as well in the garage of a house he shared with a half dozen friends. Straubel bought a “piece of shit Porsche” for $1,600 and turned it into an electric car.

“The thing I took away was that the electronics were great, and you could get acceleration on a shoestring budget, but the batteries sucked,” Straubel said. “It had a thirty-mile range, so I learned firsthand about some of the limitations of electric vehicles.”

…lithium ion batteries—such as the ones in their car being fed by the sun—had gotten much better than most people realized. Many consumer electronics devices like laptops were running on so-called 18650 lithium ion batteries, which looked a lot like AA batteries and could be strung together. “We wondered what would happen if you put ten thousand of the battery cells together,” Straubel said. “We did the math and figured you could go almost one thousand miles. It was totally nerdy shit, and eventually everyone fell asleep, but the idea really stuck with me.”

“Everyone else had told me I was nuts, but Elon loved the idea,” Straubel said. “He said, ‘Sure, I will give you some money.’” Musk promised Straubel $10,000 of the $100,000 he was seeking. On the spot, Musk and Straubel formed a kinship that would survive more than a decade…

For months Musk offered to fund an effort to transform the kit car into a commercial vehicle but got rebuffed time and again. “It was a proof of concept and needed to be made real,” Straubel said. “I love the hell out of the AC Propulsion guys, but they were sort of hopeless at business and refused to do it. They kept trying to sell Elon on this car called the eBox that looked like shit, didn’t have good performance, and was just uninspiring.”

Eberhard too tried to goad AC Propulsion into being a commercial enterprise rather than a hobby shop. When they rejected his overtures, Eberhard decided to form his own company and see what the lithium ion batteries could really do.

July 1, 2003, Eberhard and Tarpenning incorporated their new company. While at Disneyland a few months earlier on a date with his wife, Eberhard had come up with the name Tesla Motors…

Anyone who tries to build a car company in the United States is quickly reminded that the last successful start-up in the industry was Chrysler, founded in 1925.

The really frightening part of their enterprise would be building the factory to make the car and its associated parts. But the more the Tesla guys researched the industry, the more they realized that the big automakers don’t even really build their cars anymore.

“The only thing the big car companies had kept was internal combustion research, sales and marketing, and the final assembly. We thought naïvely that we could access all the same suppliers for our parts.”

The downside, though, was that venture capitalists are not a terribly imaginative bunch, and they struggled to see past the crappy plastic finish of this glorified kit car.

The lead partner at Compass had made out well on NuvoMedia and felt some loyalty to Eberhard and Tarpenning. “He said, ‘This is stupid, but I have invested in every automotive start-up for the last forty years, so why not,’” Tarpenning recalled.

With an investment of $6.5 million, Musk had become the largest shareholder of Tesla and the chairman of the company. Musk would later wield his position of strength well while battling Eberhard for control of Tesla. “It was a mistake,” Eberhard said. “I wanted more investors. But, if I had to do it again, I would take his money. A bird in the hand, you know. We needed it.”

Had anyone from Detroit stopped by Tesla Motors at this point, they would have ended up in hysterics. The sum total of the company’s automotive expertise was that a couple of the guys at Tesla really liked cars and another one had created a series of science fair projects based on technology that the automotive industry considered ridiculous. What’s more, the founding team had no intention of turning to Detroit for advice on how to build a car company.

What Tesla did have, ahead of anyone else, was the realization that 18650 lithium ion batteries had gotten really good and were going to keep getting better. Hopefully that coupled with some effort and smarts would be enough.

Berdichevsky, one of the members of the solar-powered-car team, lit up the second he heard from Straubel. An undergraduate, Berdichevsky volunteered to quit school, work for free, and sweep the floors at Tesla if that’s what it took to get a job. The founders were impressed with his spirit and hired Berdichevsky after one meeting.

Musk would visit now and again from Los Angeles and was unfazed by the conditions, having seen SpaceX grow up in similar surroundings.

No one had ever tried to combine hundreds of lithium ion batteries in parallel, so Tesla ended up at the cutting edge of the technology.

Tesla had a board meeting that day, and Musk zipped about in the car. He came away happy enough to keep investing. Musk put in $9 million more as Tesla raised a $13 million funding round. The company now planned to deliver the Roadster to consumers in early 2006.

…it was as good a moment as any to see what happened when the Roadster’s batteries caught on fire. Someone taped twenty of the batteries together, put a heating strip wire into the bundle, and set it off. “It went up like a cluster of bottle rockets,” Lyons said. Instead of twenty batteries, the Roadster would have close to 7,000, and the thought of what an explosion at that scale would be like horrified the engineers.

“The original plan had been to do the bare minimum we could get away with as far as making the car stylistically different from a Lotus but electric,” said Tarpenning. “Along the way, Elon and the rest of the board said, ‘You only get to do this once. It has to delight the customer, and the Lotus just isn’t good enough to do that.’”

Musk once again put money into Tesla—$12 million—and a handful of other investors, including the venture capital firm Draper Fisher Jurvetson, VantagePoint Capital Partners, J.P. Morgan, Compass Technology Partners, Nick Pritzker, Larry Page, and Sergey Brin, joined the $40 million round.*

Roadster Engineering

Musk didn’t appreciate being left out of the article entirely. “We tried to emphasize him, and told the reporter about him over and over again, but they weren’t interested in the board of the company,” Tarpenning said. “Elon was furious. He was livid.”

Advances in computing had made it so that small car companies could sometimes punch at the same weight as the giants of the industry. Years ago, automakers would have needed to make a fleet of cars for crash testing. Tesla could not afford to do that, and it didn’t have to. The third Roadster engineering prototype went to the same collision testing facility used by large automakers, giving Tesla access to top-of-the-line high-speed cameras and other imaging technology. Thousands of other tests, though, were done by a third party that specialized in computer simulations and saved Tesla from building a fleet of crash vehicles. Tesla also had equal access to the big guys’ durability tracks made out of cobblestones and concrete embedded with metal objects. It could replicate 100,000 miles and ten years of wear at these facilities.

The whole process of tuning a car can take the entire winter. Tesla, by contrast, sent its engineers along with the Roadsters being tested and had them analyze the data on the spot. When something needed to be tweaked, the engineers would rewrite some code and send the car back on the ice.

Not wanting to pay the exorbitant costs to use one of these chambers, the Tesla engineers opted to rent an ice cream delivery truck with a large refrigerated trailer. Someone would drive a Roadster into the truck, and the engineers would don parkas and work on the car.

Tesla tried to lease a small office in Detroit. The costs were incredibly low compared with space in Silicon Valley, but the city’s bureaucracy made getting just a basic office an ordeal. The building’s owner wanted to see seven years of audited financials from Tesla, which was still a private company. Then the building owner wanted two years’ worth of advanced rent. Tesla had about $50 million in the bank and could have bought the building outright. “In Silicon Valley, you say you’re backed by a venture capitalist, and that’s the end of the negotiation,” Tarpenning said. “But everything was like that in Detroit. We’d get FedEx boxes, and they couldn’t even decide who should sign for the package.”

It soon became apparent, however, that the contractors were not always putting their A team to work on this project for a tiny start-up in Silicon Valley and that the new transmissions were no better than the first. During tests, Tesla found that the transmissions would sometimes break after 150 miles and that the mean time between failures was about 2,000 miles.

The Tesla engineers had been told that they could fly over and manage the construction of a state-of-the-art battery factory. Instead of a factory, they found a concrete slab with posts holding up a roof. The building was about a three-hour drive south from Bangkok, and had been left mostly open like many of the other factories because of the incredible heat. The other manufacturing operations dealt with making stoves, tires, and commodities that could withstand the elements. Tesla had sensitive batteries and electronics, and like parts of the Falcon 1, they’d be chewed up by the salty, humid conditions.

“The idea was to get to Asia, get things done fast and cheap, and make money on the car,” said Forrest North, one of the engineers sent to Thailand. “What we found out was that for really complicated things, you can do the work cheaper here and have less delays and less problems.”

While doing work in Switzerland, for example, Watkins found a way to get around the country’s rigid labor laws that limit the hours employees can work, by automating a metal stamping factory so that it could run twenty-four hours per day instead of sixteen hours like the factories of rivals.

The fanny pack has his passport, checkbook, earplugs, sunscreen, food, and an assortment of other necessities. “It’s full of the everyday things I need to survive,” said Watkins.

Cost Crisis

…when it came to equipment and materials, Tesla was a spending horror show. No one liked using the company’s software that tracked the bill of materials. So some people used it, and some people didn’t. Those that did use it often made huge errors. They would take the cost of a part from the prototype cars and then estimate how much of a discount they expected when buying that part in bulk, rather than actually negotiating to find a viable price. At one point, the software declared that each Roadster should cost about $68,000, which would leave Tesla making about $30,000 per vehicle. Everyone knew the figure was wrong, but it got reported to the board anyway.

It looked like each Roadster could cost up to $200,000 to make, and Tesla planned to sell the car for only around $85,000. “Even in full production, they would have been like $170,000 or something insane,” Musk said. “Of course, it didn’t much matter because about a third of the cars didn’t flat-out fucking work.”

The company could not make its one product well, was poised to hemorrhage money, and had missed a string of delivery deadlines and yet its engineers were still off doing side experiments. Making Tesla look as pretty as possible for a suitor was the rational thing to do. In just about every other case, Marks would be thanked for his decisive plan of action and saving the company’s investors from a big loss. But Musk had little interest in polishing up Tesla’s assets for the highest bidder. He’d started the company to put a dent in the automotive industry and force people to rethink electric cars. Instead of doing the fashionable Silicon Valley thing of “pivoting” toward a new idea or plan, Musk would dig in deeper. “The product was late and over budget and everything was wrong, but Elon didn’t want anything to do with those plans to either sell the whole company or lose control through a partnership,” Straubel said. “So, Elon decided to double down.”

Tesla employees soon got to witness the same Musk that SpaceX employees had seen for years. When an issue like the Roadster’s faulty carbon-fiber body panels cropped up, Musk dealt with it directly. He flew to England in his jet to pick up some new manufacturing tools for the body panels and personally delivered them to a factory in France to ensure that the Roadster stayed on its production schedule. The days of people being ambiguous about the Roadster’s manufacturing costs were gone as well.

Someone pushed back from the table and argued that everyone had been working so hard just to get the car done, and they were ready for a break and to see their families. Elon said, ‘I would tell those people they will get to see their families a lot when we go bankrupt.’ I was like, ‘Wow,’ but I got it. I had come out of a military culture, and you just have to make your objective happen.” Employees were required to meet at 7 A.M. every Thursday morning for bill-of-materials updates. They had to know the price of every part and have a cogent plan for getting parts cheaper.

Popple found Musk’s style aggressive, but he liked that Musk would listen to a well-argued, analytical point and often change his mind if given a good enough reason. “Some people thought Elon was too tough or hot-tempered or tyrannical,” Popple said. “But these were hard times, and those of us close to the operational realities of the company knew it. I appreciated that he didn’t sugarcoat things.”

If you told him that you made a particular choice because ‘it was the standard way things had always been done,’ he’d kick you out of a meeting fast. He’d say, ‘I never want to hear that phrase again. What we have to do is fucking hard and half-assing things won’t be tolerated.’

He also began developing a role as a go-between for employees and Musk. Straubel’s engineering smarts and work ethic had earned Musk’s respect, and Straubel found that he could deliver difficult messages to Musk on behalf of other employees. As he would do for years to come, Straubel also proved willing to check his ego at the door.

Tesla could survive the loss of some of these early hires. Its strong brand had allowed the company to keep recruiting top talent, including people from large automotive companies who knew how to get over the last set of challenges blocking the Roadster from reaching customers.

Media & Persona

Both Musk and Stark were the type of men, according to Downey, who “had seized an idea to live by and something to dedicate themselves to” and were not going to waste a moment. When he returned to the Iron Man production office, Downey asked that Favreau be sure to place a Tesla Roadster in Tony Stark’s workshop.

Musk and some former PayPal executives, having settled their differences, produced Thank You for Smoking and used Musk’s jet in the movie.

For a while, the blog provided a rare, welcome glimpse into the life of an unconventional CEO. Musk seemed charming. The public learned that he bought Justine a nineteenth-century edition of Pride and Prejudice, that Musk’s best friends gave him the nickname “Elonius,” and that Musk likes to place one-dollar wagers on all manner of things—Can you catch herpes from the Great Barrier Reef?

He started selling off prized possessions like the McLaren to generate extra cash. Musk tended to shield employees from the gravity of his fiscal situation by always encouraging them to do their best work. At the same time, he personally oversaw all significant purchases at both companies.

…everything we did was a function of our burn rate and that we were burning through a hundred thousand dollars per day. It was this very entrepreneurial, Silicon Valley way of thinking that none of the aerospace engineers in Los Angeles were dialed into. Sometimes he wouldn’t let you buy a part for two thousand dollars because he expected you to find it cheaper or invent something cheaper. Other times, he wouldn’t flinch at renting a plane for ninety thousand dollars to get something to Kwaj because it saved an entire workday, so it was worth it. He would place this urgency that he expected the revenue in ten years to be ten million dollars a day and that every day we were slower to achieve our goals was a day of missing out on that money.”

“During that dinner, Elon said, ‘I will spend my last dollar on these companies. If we have to move into Justine’s parents’ basement, we’ll do it.’”

The public tended to side with Justine during all of this and couldn’t quite figure out why a billionaire was fighting his wife’s seemingly fair requests. A major problem for Musk, of course, was that his assets were anything but liquid with most of his net worth being tied up in Tesla and SpaceX stock. The couple eventually settled with Justine getting the house, $2 million in cash (minus her legal fees), $80,000 a month in alimony and child support for seventeen years, and a Tesla Roadster.*

One post gave Musk a hard time for banning stuffed animals from the house when their twins turned seven. Asked about this, Justine said, “Elon is hard-core. He grew up in a tough culture and tough circumstances. He had to become very tough to not only thrive but to conquer the world. He doesn’t want to raise soft overprivileged kids with no direction.”

Riley didn’t fall in love with Musk at first sight. But she did become more impressed and intrigued as the night went on, particularly after the club promoter introduced Musk to a stunning model, and he politely said “Hello” and then sat right back down with Riley.

“He said, ‘I don’t want you to leave. I want you to marry me.’ I think I laughed. Then, he said, ‘No. I’m serious. I’m sorry I don’t have a ring.’ I said, ‘We can shake on it if you like.’ And we did. I don’t remember what I was thinking at the time, and all I can say is that I was twenty-two.”

Musk did not have his own house, which left the couple moving into a home that belonged to Musk’s friend the billionaire Jeff Skoll. “I had been living there a week when this random guy walked in,” Riley said. “I said, ‘Who are you?’ He said, ‘I am the homeowner. Who are you?’ I told him, and then he just walked out.” Musk later proposed to Riley again on the balcony of Skoll’s house, unveiling a massive ring.

SpaceX Near-Death

A traditional aerospace company would not have wanted the added risk, but Musk insisted that SpaceX push its technology forward while at the same time trying to make it work right. Among the biggest changes for the Falcon 1 was a new version of the Merlin 1 engine that relied on a tweaked cooling system.

The failed launch left many SpaceX employees shattered. “It was so profound seeing the energy shift over the room in the course of thirty seconds,” said Dolly Singh, a recruiter at SpaceX. “It was like the worst fucking day ever. You don’t usually see grown-ups weeping, but there they were. We were tired and broken emotionally.” Musk addressed the workers right away and encouraged them to get back to work. “He said, ‘Look. We are going to do this. It’s going to be okay. Don’t freak out,’” Singh recalled. “It was like magic. Everyone chilled out immediately and started to focus on figuring out what just happened and how to fix it. It went from despair to hope and focus.”

For Musk, the situation seemed graver. “I was super depressed,” Musk said. “If we hadn’t solved the slosh coupling problem on flight two, or there was just some random other thing that occurred—say a mistake in the launch process or the manufacturing process unrelated to anything previous—then game over.” SpaceX simply did not have enough money to try a fifth flight. He’d put $100 million into the company and had nothing to spare because of the issues at Tesla. “Flight four was it,” Musk said.

Anyone at SpaceX who held the launch back went onto Musk’s critical-path shit list. Musk would hound the person responsible about the delays but, typically, he would also do everything in his power to help solve problems. “I was personally holding up the launch once and had to give Elon twice-daily updates about what was going on,” said Kevin Brogan. “But Elon would say, ‘There are five hundred people at this company. What do you need?’” One of the calls must have taken place while Musk courted Riley because Brogan remembered Musk phoning from the bathroom of a London club to find out how welding had gone on a large part of the rocket. Musk fielded another call in the middle of the night while sleeping next to Riley and had to whisper as he berated the engineers. “He’s giving us the pillow talk voice, so we all have to huddle around the speakerphone, while he tells us, ‘You guys need to get your shit together,’” Brogan said.

Typically, the body of the Falcon 1 rocket traveled to Kwaj via barge. This time Musk and the engineers were too excited and desperate to wait for the ocean journey. Musk rented a military cargo plane to fly the rocket body from Los Angeles to Hawaii and then on to Kwaj. This would have been a fine idea except the SpaceX engineers forgot to factor in what the pressurized plane would do to the body of the rocket, which is less than an eighth of an inch thick. As the plane started its descent into Hawaii, everyone inside of it could hear strange noises coming from the cargo hold. “I looked back and could see the stage crumpling,” said Bulent Altan, the former head of avionics at SpaceX. “I told the pilot to go up, and he did.” The rocket had behaved much like an empty water bottle will on a plane, with the air pressure pushing against the sides of the bottle and making it buckle.

The Falcon 1 was not carrying real cargo this time; neither the company nor the military wanted to see something else blow up or get lost at sea, so the rocket held a 360-pound dummy payload. The fact that SpaceX had been reduced to launch theater did not faze the employees or dampen their enthusiasm.

…finally, around nine minutes into its journey, the Falcon 1 shut down just as planned and reached orbit, making it the first privately built machine to accomplish such a feat. It took six years—about four and half more than Musk had once planned—and five hundred people to make this miracle of modern science and business happen.

The afterglow of this mammoth victory faded soon after the party ended, and the severity of SpaceX’s financial hell became top of mind again for Musk. SpaceX had the Falcon 9 efforts to support and had also immediately green-lighted the construction of another machine—the Dragon capsule—that would be used to take supplies, and one day humans, to the International Space Station. Historically, either project would cost more than $1 billion to complete, but SpaceX would have to find a way to build both machines simultaneously for a fraction of the cost.

In the meantime, SpaceX simply struggled to make its payroll. The press did not know the extent of Musk’s financial woes…

…it was bad on so many levels. Justine was torturing me in the press. There were always all these negative articles about Tesla, and the stories about SpaceX’s third failure. It hurt really bad. You have these huge doubts that your life is not working, your car is not working, you’re going through a divorce and all of those things. I felt like a pile of shit. I didn’t think we would overcome it. I thought things were probably fucking doomed.”

As 2008 came to an end, Musk had run out of money.

Because of the long hours that he worked and his eating habits, Musk’s weight fluctuated wildly. Bags formed under his eyes, and his countenance started to resemble that of a shattered runner at the back end of an ultra-marathon. “He looked like death itself,” Riley said. “I remember thinking this guy would have a heart attack and die. He seemed like a man on the brink.” In the middle of the night, Musk would have nightmares and yell out.

The couple had to start borrowing hundreds of thousands of dollars from Musk’s friend Skoll, and Riley’s parents offered to remortgage their house. Musk no longer flew his jet back and forth between Los Angeles and Silicon Valley. He took Southwest.

Kimbal had lost most of his money during the recession when his investments bottomed out but sold what he had left and put it into Tesla as well. “I was close to bankruptcy,” Kimbal said. Tesla had set the prepayments that customers made for the Roadsters aside, but Musk now needed to use that money to keep the company going and soon those funds were gone, too. These fiscal maneuvers worried Kimbal. “I’m sure Elon would have found a way to make things right, but he definitely took risks that seemed like they could have landed him in jail for using someone else’s money,” he said.

Musk made a last-ditch effort to raise all the personal funds he could and put them into the company. He took out a loan from SpaceX, which NASA approved, and earmarked the money for Tesla. Musk went to the secondary markets to try to sell some of his shares in SolarCity. He also seized about $15 million that came through when Dell acquired a data center software start-up called Everdream, founded by Musk’s cousins, in which he had invested.

Salzman informed Musk that the firm had a problem with the investment round because it undervalued Tesla. “I said, ‘I’ve got an excellent solution then. Take my entire portion of the deal. I had a real hard time coming up with the money. Based on the cash we have in the bank right now, we will bounce payroll next week. So unless you’ve got another idea, can you either just participate as much as you’d like, or allow the round to go through because otherwise we will be bankrupt.’” Salzman balked and told Musk to come in the following week at 7 A.M. to present to VantagePoint’s top brass. Not having a week of time to work with, Musk asked to come in the next day, and Salzman refused that offer, forcing Musk to continue taking on loans. “The only reason he wanted the meeting at his office was for me to come on bended knee begging for money so he could say, ‘No,’” Musk theorized. “What a fuckhead.”

Musk believed that Salzman’s tactics were part of a mission to bankrupt Tesla. Musk feared that VantagePoint would oust him as CEO, recapitalize Tesla, and emerge as the major owner of the carmaker. It could then sell Tesla to a Detroit automaker or focus on selling electric drivetrains and battery packs instead of making cars.

“VantagePoint was forcing that wisdom down the throat of an entrepreneur who wanted to do something bigger and bolder,” said Steve Jurvetson, a partner at Draper Fisher Jurvetson and Tesla investor. “Maybe they’re used to a CEO buckling, but Elon doesn’t do that.” Instead, Musk took another huge risk. Tesla recharacterized the funding as a debt round…

…because venture capital firms are not structured to do debt deals, and convincing their backers to alter their normal rules of engagement for a company that could very well go bankrupt in a matter of days would be a very tough ask. Knowing this, Musk bluffed. He told the investors that he would take another loan from SpaceX and fund the entire round—all $40 million—himself. The tactic worked. “When you have scarcity, it naturally reinforces greed and leads to more interest,” Jurvetson said. “It was also easier for us to go back to our firms and say, ‘Here is the deal. Go or no go?’” The deal ended up closing on Christmas Eve, hours before Tesla would have gone bankrupt.…

SpaceX, the onetime front-runner for the large NASA contract, had suddenly lost favor with the space agency. Michael Griffin, who had once almost been a cofounder of SpaceX,…

On December 23, 2008, however, SpaceX received a shock. People inside NASA had backed SpaceX to become a supplier for the ISS. The company received $1.6 billion as payment for twelve flights to the space station. Staying with Kimbal in Boulder, Colorado, for the holidays,…

“He has the ability to work harder and endure more stress than anyone I’ve ever met,” Gracias said. “What he went through in 2008 would have broken anyone else. He didn’t just survive. He kept working and stayed focused.” That ability to stay focused in the midst of a crisis stands as one of Musk’s main advantages over other executives and competitors. “Most people who are under that sort of pressure fray,” Gracias said. “Their decisions go bad. Elon gets hyperrational. He’s still able to make very clear, long-term decisions. The harder it gets, the better he gets. Anyone who saw what he went through firsthand came away with more respect for the guy. I’ve just never seen anything like his ability to take pain.”

SpaceX can undercut its U.S. competitors—Boeing, Lockheed Martin, Orbital Sciences—on price by a ridiculous margin. It also offers U.S. customers a peace of mind that its rivals can’t. Where these competitors rely on Russian and other foreign suppliers, SpaceX makes all of its machines from scratch in the United States. Because of its low costs, SpaceX has once again made the United States a player in the worldwide commercial launch market. Its $60 million per launch cost is much less than what Europe and Japan charge and trumps even the relative bargains offered by the Russians and Chinese, who have the added benefit of decades of sunk government investment into their space programs as well as cheap labor.

…the retirement of the space shuttle made the United States totally dependent on the Russians to get astronauts to the ISS. Russia gets to charge $70 million per person for the trip and to cut the United States off as it sees fit during political rifts. At present, SpaceX looks like the best hope of breaking this cycle and giving back to America its ability to take people into space.

Reusing its rockets will drive the bulk of this reduction and SpaceX’s competitive advantage. Imagine one airline that flies the same plane over and over again, competing against others that dispose of their planes after every flight.*

Since getting past its near-death experience in 2008, SpaceX has been profitable…

SpaceX Operating Model

Zip2, PayPal, Tesla, SolarCity—they are all expressions of Musk. SpaceX is Musk. Its foibles emanate directly from him, as do its successes. Part of this comes from Musk’s maniacal attention to detail and involvement in every SpaceX endeavor. He’s hands-on to a degree that would make Hugh Hefner feel inadequate. Part of it stems from SpaceX being the apotheosis of the Cult of Musk. Employees fear Musk. They adore Musk. They give up their lives for Musk, and they usually do all of this simultaneously. Musk’s demanding management style can only flourish because of the otherworldly—in a literal sense—aspirations of the company.

Musk does not simply want to lower the cost of deploying satellites and resupplying the space station. He wants to lower the cost of launches to the point that it becomes economical and practical to fly thousands upon thousands of supply trips to Mars and start a colony. Musk wants to conquer the solar system, and, as it stands, there’s just one company where you can work if that sort of quest gets you out of bed in the morning. It seems unfathomable, but the rest of the space industry has made space boring.

When young people get into the aerospace industry, they’re forced to either laugh or cry at the state of the machines. Nothing sucks the fun out of working on a spaceship like controlling it with mechanisms last seen in a 1960s laundromat. And the actual work environment is as outmoded as the machines. Hotshot college graduates have historically been forced to pick between a variety of slow-moving military contractors and interesting but ineffectual start-ups.

…most of the attention goes toward spotting engineers who have exhibited type A personality traits over the course of their lives. The company’s recruiters look for people who might excel at robot-building competitions or who are car-racing hobbyists who have built unusual vehicles. The object is to find individuals who ooze passion, can work well as part of a team, and have real-world experience bending metal. “Even if you’re someone who writes code for your job, you need to understand how mechanical things work,”

…recruiters wooed interesting candidates they had spotted with a cloak-and-dagger shtick. They would hand out blank envelopes that contained invitations to meet at a specific time and place, usually a bar or restaurant near the event, for an initial interview. The candidates that showed up would discover they were among only a handful of people who had been anointed out of all the conference attendees. They were immediately made to feel special and inspired.

The standard SpaceX problem requires five hundred or more lines of code. All potential employees who make their way to the end of the interview process then handle one more task. They’re asked to write an essay for Musk about why they want to work at SpaceX. The reward for solving the puzzles, acting clever in interviews, and penning up a good essay is a meeting with Musk. He interviewed almost every one of SpaceX’s first one thousand hires, including the janitors and technicians, and has continued to interview the engineers as the company’s workforce swelled.

There’s an impression that SpaceX suffers from incredibly high turnover, and the company has without question churned through a fair number of bodies. Many of the key executives who helped start the company, however, have hung on for a decade or more. Among the rank-and-file engineers, most people stay on for at least five years to have their stock options vest and to see their projects through. This is typical behavior for any technology company.

…almost every person—even those who had been fired—still worshipped Musk and talked about him in terms usually reserved for superheroes or deities.

A typical aerospace company comes up with the list of parts that it needs for a launch system and then hands off their design and specifications to myriad third parties who then actually build the hardware. SpaceX tends to buy as little as possible to save money and because it sees depending on suppliers—especially foreign ones—as a weakness. This approach comes off as excessive at first blush. Companies have made things like radios and power distribution units for decades. Reinventing the wheel for every computer and machine on a rocket could introduce more chances for error and, in general, be a waste of time. But for SpaceX, the strategy works. In addition to building its own engines, rocket bodies, and capsules, SpaceX designs its own motherboards and circuits, sensors to detect vibrations, flight computers, and solar panels. Just by streamlining a radio, for instance, SpaceX’s engineers have found that they can reduce the weight of the device by about 20 percent. And the cost savings for a homemade radio are dramatic, dropping from between $50,000 to $100,000 for the industrial-grade equipment used by aerospace companies to $5,000 for SpaceX’s unit.

SpaceX has had to work for years to prove to NASA that standard electronics have gotten good enough to compete with the more expensive, specialized gear trusted in years past.

To prove that it’s making the right choice to NASA and itself, SpaceX will sometimes load a rocket with both the standard equipment and prototypes of its own design for testing during flight. Engineers then compare the performance characteristics of the devices. Once a SpaceX design equals or outperforms the commercial products, it becomes the de facto hardware.

This type of welding tends to result in much stronger bonds than traditional welds. Companies had performed friction stir welding before but not on structures as large as a rocket’s body or to the degree to which SpaceX has used the technique. As a result of its trials and errors, SpaceX can now join large, thin sheets of metal and shave hundreds of pounds off the weight of the Falcon rockets, as it’s able to use lighter-weight alloys and avoid using rivets, fasteners, and other support structures. Musk’s competitors in the auto industry might soon need to do the same because SpaceX has transferred some of the equipment and techniques to Tesla.

The technology has proven so valuable that SpaceX’s competitors have started to copy it and have tried to poach some of the company’s experts in the field. Blue Origin, Jeff Bezos’s secretive rocket company, has been particularly aggressive, hiring away Ray Miryekta, one of the world’s foremost friction stir welding experts and igniting a major rift with Musk.

The relationship between Musk and Bezos has soured, and they no longer chat about their shared ambition of getting to Mars. “I do think Bezos has an insatiable desire to be King Bezos,” Musk said. “He has a relentless work ethic and wants to kill everything in e-commerce. But he’s not the most fun guy, honestly.”*

Musk was a forceful software executive trying to learn some basic things about a very different world. At Zip2 and PayPal, he felt comfortable standing up for his positions and directing teams of coders. At SpaceX, he had to pick things up on the job. Musk initially relied on textbooks to form the bulk of his rocketry knowledge. But as SpaceX hired one brilliant person after another, Musk realized he could tap into their stores of knowledge. He would trap an engineer in the SpaceX factory and set to work grilling him about a type of valve or specialized material. “I thought at first that he was challenging me to see if I knew my stuff,” said Kevin Brogan, one of the early engineers. “Then I realized he was trying to learn things. He would quiz you until he learned ninety percent of what you know.” People who have spent significant time with Musk will attest to his abilities to absorb incredible quantities of information with near-flawless recall. It’s one of his most impressive and intimidating skills and seems to work just as well in the present day as it did when he was a child vacuuming books into his brain.

Musk may well set more aggressive delivery targets for very difficult-to-make products than any executive in history.

He will pick the most aggressive time schedule imaginable assuming everything goes right, and then accelerate it by assuming that everyone can work harder.”

“Everything he does is fast,” Brogan said. “He pees fast. It’s like a fire hose—three seconds and out. He’s authentically in a hurry.”

“You had to put in when you would go to the bathroom,” Brogan said. “I’m like, ‘Elon, sometimes people need to take a long dump.’” SpaceX’s top managers work together to, in essence, create fake schedules that they know will please Musk but that are basically impossible to achieve. This would not be such a horrible situation if the targets were kept internal. Musk, however, tends to quote these fake schedules to customers, unintentionally giving them false hope. Typically, it falls to Gwynne Shotwell, SpaceX’s president, to clean up the resulting mess.

The ideal SpaceX employee is someone like Steve Davis, the director of advanced projects at SpaceX. “He’s been working sixteen hours a day every day for years,” Brogan said. “He gets more done than eleven people working together.” To find Davis, Musk called a teaching assistant* in Stanford’s aeronautics department and asked him if there were any hardworking, bright master’s and doctoral candidates who didn’t have families.

The total cost for Dragon came in at $300 million, which would be on the order of 10 to 30 times less than capsule projects built by other companies. “The metal comes in, we roll it out, weld it, and make things,” Davis said. “We build almost everything in-house. That is why the costs have come down.”

He got a quote back for $120,000. “Elon laughed,” Davis said. “He said, ‘That part is no more complicated than a garage door opener. Your budget is five thousand dollars. Go make it work.’” Davis spent nine months building the actuator.

Musk rewarded all of this toil and angst with one of his standard responses. He wrote back, “Ok.” The actuator Davis designed ended up costing $3,900 and flew with Falcon 1 into space.

One of my favorite things about Elon is his ability to make enormous decisions very quickly. That is still how it works today.”

Musk wanted the bulk of a rocket’s computing systems to cost no more than $10,000. It was an insane figure by aerospace industry standards, where the avionics systems for a rocket typically cost well over $10 million. “In traditional aerospace, it would cost you more than ten thousand dollars just for the food at a meeting to discuss the cost of the avionics,” Watson said.

SpaceX reinvigorated Watson, who had become disenchanted with JPL’s acceptance of wasteful spending and bureaucracy. Musk had to sign off on every expenditure over $10,000. “It was his money that we were spending, and he was keeping an eye on it, as he damn well should,” Watson said.

“It was amazing how fast people would adapt to what came out of those meetings,” Watson said. “The entire ship could turn ninety degrees instantly. Lockheed Martin could never do anything like that.”

If he asks you a question, you learn very quickly not to go give him a gut reaction. He wants answers that get down to the fundamental laws of physics. One thing he understands really well is the physics of the rockets. He understands that like nobody else. The stuff I have seen him do in his head is crazy. He can get in discussions about flying a satellite and whether we can make the right orbit and deliver Dragon at the same time and solve all these equations in real time. It’s amazing to watch the amount of knowledge he has accumulated over the years. I don’t want to be the person who ever has to compete with Elon. You might as well leave the business and find something else fun to do. He will outmaneuver you, outthink you, and out-execute you.

Employees have since dubbed the acronym policy the ASS Rule.

…the absolute worst thing that someone can do is inform Musk that what he’s asking is impossible. An employee could be telling Musk that there’s no way to get the cost on something like that actuator down to where he wants it or that there is simply not enough time to build a part by Musk’s deadline. “Elon will say, ‘Fine. You’re off the project, and I am now the CEO of the project. I will do your job and be CEO of two companies at the same time. I will deliver it,’” Brogan said. “What’s crazy is that Elon actually does it. Every time he’s fired someone and taken their job, he’s delivered on whatever the project was.”

We’re trying to have a really big impact on the space industry. If the rules are such that you can’t make progress, then you have to fight the rules. “There is a fundamental problem with regulators. If a regulator agrees to change a rule and something bad happens, they could easily lose their career. Whereas if they change a rule and something good happens, they don’t even get a reward. So, it’s very asymmetric. It’s then very easy to understand why regulators resist changing the rules. It’s because there’s a big punishment on one side and no reward on the other. How would any rational person behave in such a scenario?”

One former official felt that Musk would need to temper himself better in the years to come if SpaceX was to keep currying favor with the military and government agencies in its bid to defeat the incumbent contractors. “His biggest enemy will be himself and the way he treats people,” this person said.

The work kept Shotwell interested, but the environment started to grate on her. There were rules for everything, including lots of union regulations around who could operate certain machines. “I picked up a tool once, and got written up,” she said. “Then I opened a bottle of liquid nitrogen and got written up. I started thinking that the job was not what I had anticipated it would be.” Shotwell pulled out of the Chrysler training program, regrouped at home, and then briefly pursued her doctorate in applied mathematics.

She spent ten years at Aerospace and honed her skills as a systems engineer. By the end, though, Shotwell had become irritated by the pace of the industry. “I didn’t understand why it had to take fifteen years to make a military satellite,” she said. “You could see my interest was waning.”

The next day Mary Beth Brown called Shotwell and told her that Musk wanted to interview her for the new vice president of business development position. Shotwell ended up as employee No. 7. “I gave three weeks’ notice at Microcosm and remodeled my bathroom because I knew I would not have a life after taking the job,” she said.

As Shotwell saw it, the commercial space race was coming down to SpaceX and China and that’s it. And in the bigger picture, the race was on to ensure man’s survival.

The government had agreed to put fourteen of its sensitive launches up for bid instead of just awarding them directly to ULA. Musk had come to Congress to present his case for why SpaceX made sense as a viable candidate for those and other launches. The day after the hearing, the air force cut the number of launches up for bid from fourteen to between seven and one. One month later, SpaceX filed a lawsuit against the air force asking for a chance to earn its launch business. “SpaceX is not seeking to be awarded contracts for these launches,” the company said on its freedomtolaunch.com website. “We are simply seeking the right to compete.”*

“Elon is changing the way aerospace business is done,” said NASA’s Stoker. “He’s managed to keep the safety factor up while cutting costs. He’s just taken the best things from the tech industry like the open-floor office plans and having everyone talking and all this human interaction. It’s a very different way to most of the aerospace industry, which is designed to produce requirements documents and project reviews.”

SpaceX has found a way to combine three Falcon 9s into a single craft with 27 of the Merlin engines and the ability to carry more than 53 metric tons of stuff into orbit. Part of the genius of Musk and Mueller’s designs is that SpaceX can reuse the same engine in different configurations—from the Falcon 1 up to the Falcon Heavy—saving on cost and time.

What ends up happening is that the car gets to New Mexico—twice as far as they ever expected—and Elon is still mad. He gets twice as much as anyone else out of people.” There’s a degree to which it’s just never enough for Musk, no matter what it is.

…ninety minutes before the party started, Musk had called his top executives to SpaceX for a meeting. Six of them, including Mueller, were decked out in party attire and ready to celebrate the holidays and SpaceX’s historic achievement around Dragon. Musk laid into them for about an hour because the truss structure for a future rocket was running behind schedule. “Their wives were sitting three cubes over waiting for the berating to end,” Brogan said.

Musk, for example, rewarded a group of thirty employees who had pulled off a tough project for NASA with bonuses that consisted of additional stock option grants. Many of the employees, seeking instant, more tangible gratification, demanded cash. “He chided us for not valuing the stock,” Drew Eldeen, a former engineer, said. “He said, ‘In the long run, this is worth a lot more than a thousand dollars in cash.’ He wasn’t screaming or anything like that, but he seemed disappointed in us. It was hard to hear that.”

For those who are under the impression that they are so clever that they can outsmart public market investors and would sell SpaceX stock at the “right time,” let me relieve you of any such notion. If you really are better than most hedge fund managers, then there is no need to worry about the value of your SpaceX stock, as you can just invest in other public company stocks and make billions of dollars in the market.

Model S Era

The Model S was not just the best electric car; it was best car, period, and the car people desired. America had not seen a successful car company since Chrysler emerged in 1925. Silicon Valley had done little of note in the automotive industry. Musk had never run a car factory before and was considered arrogant and amateurish by Detroit. Yet, one year after the Model S went on sale, Tesla had posted a profit, hit $562 million in quarterly revenue, raised its sales forecast, and become as valuable as Mazda Motor. Elon Musk had built the automotive equivalent of the iPhone.

Whether Musk was a founder of Tesla in the purest sense of the word is irrelevant at this point. There would be no Tesla to talk about today were it not for Musk’s money, marketing savvy, chicanery, engineering smarts, and indomitable spirit. Tesla was, in effect, willed into existence by Musk and reflects his personality as much as Intel, Microsoft, and Apple reflect the personalities of their founders. Marc Tarpenning, the other Tesla cofounder, said as much when he reflected on what Musk has meant to the company. “Elon pushed Tesla so much farther than we ever imagined,” he said.

After purchasing a CLS, Tesla’s engineers tore it apart. One team had reshaped the boxy, rectangular battery pack from the Roadster and made it flat. The engineers cut the floor out of the CLS and plopped in the pack. Next they put the electronics that tied the whole system together in the trunk. After that, they replaced the interior of the car to restore its fit and finish. Following three months of work, Tesla had in effect built an all-electric Mercedes CLS.

To perform these joyrides-cum-tests in relative secrecy, the engineers had to weld the tips of the exhaust pipes back onto the car to make it look like any other CLS.

GM taught von Holzhausen just how nasty a big car company could become. None of the cars in GM’s lineup really excited him, and it seemed near impossible to make a large impact on the company’s culture. He was one member of a thousand-person design team that divvyed up the makes of cars haphazardly without any consideration as to which person really wanted to work on which car. “They took all the spirit out of me,” said von Holzhausen. “I knew I didn’t want to die there.”

Musk ramped up the charm and sold von Holzhausen on the idea that he had a chance to shape the future of the automobile and that it made sense to leave his cushy job at a big, proven automaker for this once-in-a-lifetime opportunity. “Elon and I went for a drive in the Roadster, and everyone was checking it out,” von Holzhausen said. “I knew I could stay at Mazda for ten years and get very comfortable or take a huge leap of faith. At Tesla, there was no history, no baggage. There was just a vision of products that could change the world. Who wouldn’t want to be involved with that?”

“It was like a garage experiment, and it made cars cool again.” The suits were gone, and so were the veteran automotive hands dulled by years working in the industry. In their stead, von Holzhausen found energetic geeks who didn’t realize that what they wanted to do was borderline impossible.

In the tradition of many a Musk employee, von Holzhausen had to build his own office. He made a pilgrimage to IKEA to buy some desks and then went to an art store to get some paper and pens.

Musk wanted to make another statement with a huge touchscreen. This was years before the iPad would be released. The touch-screens that people ran into now and again at airports or shopping kiosks were for the most part terrible. But to Musk, the iPhone and all of its touch functions made it obvious that this type of technology would soon become commonplace.

…at the time, car manufacturers in North America had almost no experience producing aluminum body panels.

…attempts were repeatedly made to talk Musk out of the aluminum body, but he would not budge, seeing it as the only rational choice. It would be up to the Tesla team to figure out how to make the aluminum manufacturing happen. “We knew it could be done,” Musk said. “It was a question of how hard it would be and how long it would take us to sort it out.”

“When we first talked about the touch-screen, the guys came back and said, ‘There’s nothing like that in the automotive supply chain,’” Musk said. “I said, ‘I know. That’s because it’s never been put in a fucking car before.’” Musk figured that computer manufacturers had tons of experience making seventeen-inch laptop screens and expected them to knock out a screen for the Model S with relative ease. “The laptops are pretty robust,” Musk said. “You can drop them and leave them out in the sun, and they still have to work.”

Tesla’s engineers came back and said that the temperature and vibration loads for the computers did not appear to be up to automotive standards. Tesla’s supplier in Asia also kept pointing the carmaker to its automotive division instead of its computing division. As Musk dug into the situation more, he discovered that the laptop screens simply had not been tested before under the tougher automotive conditions, which included large temperature fluctuations. When Tesla performed the tests, the electronics ended up working just fine. Tesla also started working hand in hand with the Asian manufacturers to perfect their then-immature capacitive-touch technology and to find ways to hide the wiring behind the screen that made the touch technology possible. “I’m pretty sure that we ended up with the only seventeen-inch touch-screen in the world,” Musk said. “None of the computer makers or Apple had made it work yet.”

Tesla engineers were radical by automotive industry standards but even they had problems fully committing to Musk’s vision. “They wanted to put in a bloody switch or a button for the lights,” Musk said. “Why would we need a switch? When it’s dark, turn the lights on.”

As with SpaceX, Musk preferred to build as much of Tesla’s vehicles in-house as possible, but the high costs were limiting just how much Tesla could take on.

“Every morning at six A.M., the first thing to hit my desk was this overnight report that included information on who got killed and what killed them,” O’Connell said. “I kept thinking, This is insane. Why are we in this place? It was not just Iraq but the whole picture. Why were we so invested in that part of the world?” The unsurprising answer that O’Connell came up with was oil. The more O’Connell dug into the United States’ dependence on foreign oil, the more frustrated and despondent he became. “My clients were basically the combat commanders—people in charge of Latin America and Central Command,” he said. “As I talked with them and studied and researched, I realized that even in peacetime, so many of our assets were employed to support the economic pipeline around oil.” O’Connell decided that the rational thing to do for his country and for his newborn son was to alter this equation.

…in January 2010, the Department of Energy struck a $465 million loan agreement with Tesla.* The money was far more than Tesla had ever expected to get from the government. But it still represented just a fraction of the $1 billion plus that most carmakers needed to bring a new vehicle to market. So, while Musk and O’Connell were thrilled to get the money, they still wondered if Tesla would be able to live up to the bargain. Tesla would need one more windfall or, perhaps, to steal a car factory. And in May 2010, that’s more or less what it did.

…the recession hit, and GM found itself trying to climb out of bankruptcy. It decided to abandon the plant in 2009, and Toyota followed right after, saying it would close down the whole facility, leaving five thousand people without jobs. All of a sudden, Tesla had the chance to buy a 5.3-million-square-foot plant in its backyard. Just one month after the last Toyota Corolla went off the manufacturing line in April 2010, Tesla and Toyota announced a partnership and transfer of the factory. Tesla agreed to pay $42 million for a large portion of the factory (once worth $1 billion), while Toyota invested $50 million in Tesla for a 2.5 percent stake in the company. Tesla had basically secured a factory, including the massive metal-stamping machines and other equipment, for free.*

“One of the scariest meetings was when we needed to ask Elon for an extra two weeks and more money to build out another version of the Model S,” Javidan said. “We put together a plan, stating how long things would take and what they would cost. We told him that if he wanted the car in thirty days it would require hiring some new people, and we presented him with a stack of resumes. You don’t tell Elon you can’t do something. That will get you kicked out of the room. You need everything lined up. After we presented the plan, he said, ‘Okay, thanks.’ Everyone was like, ‘Holy shit, he didn’t fire you.’”

Musk would overwhelm the Tesla engineers with his requests. He took a Model S prototype home for a weekend and came back on the Monday asking for around eighty changes. Since Musk never writes anything down, he held all the alterations in his head and would run down the checklist week by week to see what the engineers had fixed.

When Tesla’s engineers first heard about the falcon-wing doors, they cringed. Here was Musk with another crazy ask. “Everyone tried to come up with an excuse as to why we couldn’t do it,” Javidan said. “You can’t put it in the garage. It won’t work with things like skis. Then, Elon took a demo model to his house and showed us that the doors opened. Everyone is mumbling, ‘Yeah, in a fifteen-million-dollar house, the doors will open just fine.’”

Musk, though, approaches everything from a Platonic perspective. As he sees it, all of the design and technology choices should be directed toward the goal of making a car as close to perfect as possible. To the extent that rival automakers haven’t, that’s what Musk is judging. It’s almost a binary experience for him. Either you’re trying to make something spectacular with no compromises or you’re not. And if you’re not, Musk considers you a failure.

For the few first months that the Model S came off the line, Musk went to this bamboo stage to inspect every vehicle. “He was down on all fours looking up under the wheel well,” said Steve Jurvetson, the investor and Tesla board member.

“My main emotion is that there is a bit of weight off my shoulders,” he said at the time. Musk took his boys to Maui to meet up with Kimbal and other relatives, marking his first real vacation in a number of years.

The Supercharging stations, as Tesla called them, represented a huge investment for the strapped company. An argument could easily be made that spending money on this sort of thing at such a precarious moment in the Model S and Tesla’s history was somewhere between daft and batshit crazy. Surely Musk did not have the gall to try to revamp the very idea of the automobile and build an energy network at the same time with a budget equivalent to what Ford and ExxonMobil spend on their annual holiday parties. But that was the exact plan.

By the middle of February 2013, Tesla had fallen into a crisis state. If it could not convert its reservations to purchases quickly, its factory would sit idle, costing the company vast amounts of money. And if anyone caught wind of the factory slowdown, Tesla’s shares would likely plummet, prospective owners would become even more cautious, and the short sellers would win. The severity of this problem had been hidden from Musk, but once he learned about it, he acted in his signature all-or-nothing fashion. Musk pulled people from recruiting, the design studio, engineering, finance, and wherever else he could find them and ordered them to get on the phone, call people with reservations, and close deals. “If we don’t deliver these cars, we are fucked,” Musk told the employees. “So, I don’t care what job you were doing. Your new job is delivering cars.”

Not only were customers failing to convert their reservations to orders at the rate Musk hoped, but existing customers had also started to defer their orders as they heard about upcoming features and new color choices. The situation got so bad that Tesla had to shut down its factory. Publicly, Tesla said it needed to conduct maintenance on the factory, which was technically true, although the company would have soldiered on had the orders been closing as expected. Musk explained all of this to Page and then struck a handshake deal for Google to acquire Tesla.

Musk’s biggest fear about an acquisition was that the new owner would not see Tesla’s goals through to their conclusion. He wanted to make sure that the company would end up producing a mass-market electric vehicle. Musk proposed terms under which he would remain in control of Tesla for eight years or until it started pumping out a mass-market car. Musk also asked for access to $5 billion in capital for factory expansions.

As Musk, Page, and Google’s lawyers debated the parameters of an acquisition, a miracle happened. The five hundred or so people whom Musk had turned into car salesmen quickly sold a huge volume of cars. Tesla, which only had a couple weeks of cash left in the bank, moved enough cars in the span of about fourteen days to end up with a blowout first fiscal quarter. Tesla stunned Wall Street on May 8, 2013, by posting its first-ever profit as a public company—$11 million—on $562 million in sales. It delivered 4,900 Model S sedans during the period.

Inside of every Ford were dozens of computing systems made by different companies that all had to speak to each other and work as one. It was a mess of complexity that had evolved over time, and simplifying the situation would prove near impossible at this point, especially for a company like Ford, which needed to pump out hundreds of thousands of cars per year and could not afford to stop and reboot.

“Software is in many ways the heart of the new vehicle experience,” he said. “From the powertrain to the warning chimes in the car, you’re using software to create an expressive and pleasing environment. The level of integration that the software has into the rest of the Model S is really impressive. Tesla is a benchmark for what we do here.”

You can see Musk’s embrace of the car as lifestyle in Tesla’s abandonment of model years. Tesla does not designate cars as being 2014s or 2015s, and it also doesn’t have “all the 2014s in stock must go, go, go and make room for the new cars” sales. It produces the best Model S it can at the time, and that’s what the customer receives. This means that Tesla does not develop and hold on to a bunch of new features over the course of the year and then unleash them in a new model all at once. It adds features one by one to the manufacturing line when they’re ready.

Even Tesla’s approach to maintenance is philosophically different from that of the traditional automotive industry. Most car dealers make the majority of their profits from servicing cars. They treat vehicles like a subscription service, expecting people to visit their service centers multiple times a year for many years. This is the main reason dealerships have fought to block Tesla from selling its cars directly to consumers.* “The ultimate goal is to never have to bring your car back in after you buy it,” said Javidan.

Tesla’s model isn’t just about being an affront to the way carmakers and dealers do business. It’s a more subtle play on how electric cars represent a new way to think of automobiles. All car companies will soon follow Tesla’s lead and offer some form of over-the-air updates to their vehicles.

…the chance to build an awesome electric car had been there all along. “It’s not really like there was a rush to this idea, and we got there first,” Straubel said. “It is frequently forgotten in hindsight that people thought this was the shittiest business opportunity on the planet. The venture capitalists were all running for the hills.” What separated Tesla from the competition was the willingness to charge after its vision without compromise, a complete commitment to execute to Musk’s standards.

SolarCity & Clean Energy

At the time, it was not easy for consumers to get solar panels on their houses. You had to be very proactive, acquiring the panels and finding someone else to install them. The consumer paid up front and had to make an educated guess as to whether or not his or her house even got enough sunshine to make the ordeal worthwhile. On top of all this, people were reluctant to buy panels, knowing that the next year’s models would be more efficient. The Rives decided to make buying into the solar proposition much simpler and formed a company called SolarCity in 2006.

Six years later, SolarCity had become the largest installer of solar panels in the country.

“We had a blanket rule against investing in clean-tech companies for about a decade,” said Peter Thiel, the PayPal cofounder and venture capitalist at Founders Fund. “On the macro level, we were right because clean tech as a sector was quite bad. But on the micro level, it looks like Elon has the two most successful clean-tech companies in the U.S. We would rather explain his success as being a fluke. There’s the whole Iron Man thing in which he’s presented as a cartoonish businessman—this very unusual animal at the zoo. But there is now a degree to which you have to ask whether his success is an indictment on the rest of us who have been working on much more incremental things. To the extent that the world still doubts Elon, I think it’s a reflection on the insanity of the world and not on the supposed insanity of Elon.”

After adding the leases, the storage units, and the solar cell manufacturing together, it became clear to close observers of SolarCity that the company had morphed into something resembling a utility. It had built out a network of solar systems all under its control and managed by the company’s software. By the end of 2015, SolarCity expects to have installed 2 gigawatts’ worth of solar panels, producing 2.8 terawatt-hours of electricity per year. “This would put us on a path to fulfill our goal to become one of the largest suppliers of electricity in the United States,” the company said after announcing these figures in a quarterly earnings statement.

Policy & Competition

Musk has spent years buttering up the Democrats. He’s visited the White House several times and has the ear of President Obama. Musk, however, is not a blind loyalist. He first and foremost backs the beliefs behind Musk Co. and then uses any pragmatic means at his disposal to advance his cause. Musk plays the part of the ruthless industrialist with a fierce capitalist streak better than most Republicans and has the credentials to back it up and earn support.

“I think our Tesla headquarters looks like crap,” Musk said. “We’re going to spruce things up. Not to sort of the Google level. You have to be like making money hand over fist in order to be able to spend money the way that Google does. But we’re going to make our headquarters much nicer and put in a restaurant.”

What’s fascinating is that Musk remains willing to lose it all.

What Musk struggles to fathom is why other automakers with deeper pockets aren’t making similar moves.

“Just the twenty-two thousand cars we sold in 2013 had a highly leveraged effect in pushing the industry toward sustainable technology.” It’s true that the supply for lithium ion batteries is already constrained, and Tesla looks like the only company addressing the problem in a meaningful way. “The competitors are all sort of pooh-poohing the Gigafactory,” Musk said. “They think it’s a stupid idea, that the battery supplier should just go build something like that. But I know all the suppliers, and I can tell you that they don’t like the idea of spending several billion dollars on a battery factory. You’ve got a chicken-and-egg problem where the car companies are not going to commit to a giant volume because they’re not sure you can sell enough electric cars. So, I know we can’t get enough lithium ion batteries unless we build this bloody factory, and I know no one else is building this thing.”

Most of the car companies dabbling in electric vehicles continue to buy bulky, off-the-shelf batteries rather than developing their own technology. No matter how much they wanted to respond to the Model 3, the automakers would need years to come up with a real challenger and even then they might not have a ready supply of batteries for their vehicles.

He didn’t have the fuck-you money of a Jeff Bezos, who handed his space company Blue Origin a kingly pile of cash and asked it to make Bezos’s dreams come true. If Musk wanted to get to Mars, he would have to earn it by building SpaceX into a real business. This all seems to have worked in Musk’s favor. SpaceX has learned to make cheap and effective rockets and to push the limits of aerospace technology.

Mars & Hyperloop

It’s not about tourism. It’s like people coming to America back in the New World days. You move, get a job there, and make things work. If you solve the transport problem, it’s not that hard to make a pressurized transparent greenhouse to live in. But if you can’t get there in the first place, it doesn’t matter.

“He definitely wants to be the first man on Mars,” Riley said. “I have begged him not to be.”

“I would only be on the first trip to Mars if I was confident that SpaceX would be fine if I die,” he said. “I’d like to go, but I don’t have to go. The point is not about me visiting Mars but about enabling large numbers of people to go to the planet.”

Honestly, if I never go to space, that will be okay. The point is to maximize the probable life span of humanity.”

“The sixty-billion-dollar bullet train they’re proposing in California would be the slowest bullet train in the world at the highest cost per mile,” Musk said. “They’re going for records in all the wrong ways.” California’s high-speed rail is meant to allow people to go from Los Angeles to San Francisco in about two and a half hours upon its completion in—wait for it—2029.

Leadership Controversies

“Elon’s worst trait by far, in my opinion, is a complete lack of loyalty or human connection,” said one former employee. “Many of us worked tirelessly for him for years and were tossed to the curb like a piece of litter without a second thought. Maybe it was calculated to keep the rest of the workforce on their toes and scared; maybe he was just able to detach from human connection to a remarkable degree. What was clear is that people who worked for him were like ammunition: used for a specific purpose until exhausted and discarded.”

Quite often, Musk does not let his communications staff in on his agenda. Ahead of the Hyperloop announcement, for example, his representatives were sending me e-mails to find out the time and date for the press conference.

The granddaddy example of Musk’s seemingly callous interoffice style occurred in early 2014 when he fired Mary Beth Brown. To describe her as a loyal executive assistant would be grossly inadequate. Brown often felt like an extension of Musk—the one being who crossed over into all of his worlds. For more than a decade, she gave up her life for Musk, traipsing back and forth between Los Angeles and Silicon Valley every week, while working late into the night and on weekends. Brown went to Musk and asked that she be compensated on par with SpaceX’s top executives, since she was handling so much of Musk’s scheduling across two companies, doing public relations work and often making business decisions. Musk replied that Brown should take a couple of weeks off, and he would take on her duties and gauge how hard they were. When Brown returned, Musk let her know that he didn’t need her anymore, and he asked Shotwell’s assistant to begin scheduling his meetings. Brown, still loyal and hurt, didn’t want to discuss any of this with me. Musk said that she had become too comfortable speaking on his behalf and that, frankly, she needed a life. Other people grumbled that Brown and Riley clashed and that this was the root cause of Brown’s ouster.*

…the optics of the situation were terrible. Tony Stark doesn’t fire Pepper Potts. He adores her and takes care of her for life. She’s the only person he can really trust—the one who has been there through everything. That Musk was willing to let Brown go and in such an unceremonious fashion struck people inside SpaceX and Tesla as scandalous and as the ultimate confirmation of his cruel stoicism.

Peers & Tech

He’s implored people to understand that he’s not chasing momentary opportunities in the business world. He’s trying to solve problems that have been consuming him for decades. During our conversations, Musk went back to this very point over and over again, making sure to emphasize just how long he’d thought about electric cars and space.

“Like Jobs, Elon does not tolerate C or D players,” said Jurvetson. “But I’d say he’s nicer than Jobs and a bit more refined than Bill Gates.”*

Jobs dedicated far more of his energy to Apple than Pixar, unlike Musk, who has poured equal energy into both companies, while saving whatever was left over for SolarCity. Jobs was also legendary for his attention to detail. No one, however, would suggest that his reach extended down as far as Musk’s into overseeing so much of the companies’ day-to-day operations. Musk’s approach has its limitations. He’s less artful with marketing and media strategy. Musk does not rehearse his presentations or polish speeches. He wings most of the announcements from Tesla and SpaceX.

Pre-iPhone, the United States was the laggard in the telecommunications industry. All of the exciting cell phones and mobile services were in Europe and Asia, while American consumers bumbled along with dated equipment. When the iPhone arrived in 2007, it changed everything.

…the United States suddenly emerged as the driving force in the mobile industry. Smartphones were revolutionary because of the ways they allowed hardware, software, and services to work in unison. This was a mix that favored the skills of Silicon Valley. The rise of the smartphone led to a massive industrial boom in which Apple became the most valuable company in the country, and billions of its clever devices were spread all over the world.

Electronics are good and cheap, while software is more reliable and sophisticated. Their interplay is now resulting in science fiction–worthy ideas we were promised long ago becoming a reality.

“He could have just made an electric car,” Fadell said. “But he did things like use motors to actuate the door handles. He’s bringing the consumer electronics and the software together, and the other car companies are trying to figure out a way to get there. Whether it’s Tesla or SpaceX taking Ethernet cables and running them inside of rocket ships, you are talking about combining the old-world science of manufacturing with low-cost, consumer-grade technology. You put these things together, and they morph into something we have never seen before. All of a sudden there is a wholesale change,” he said. “It’s a step function.”

Page has ended up on Musk’s house-surfing schedule. “He’s kind of homeless, which I think is sort of funny,” Page said. “He’ll e-mail and say, ‘I don’t know where to stay tonight. Can I come over?’ I haven’t given him a key or anything yet.”

The company, however, operates under a set of constraints and expectations that come with employing tens of thousands of people and being analyzed constantly by investors. It’s with this in mind that Page sometimes feels a bit envious of Musk, who has managed to make radical ideas the basis of his companies. “If you think about Silicon Valley or corporate leaders in general, they’re not usually lacking in money,” Page said. “If you have all this money, which presumably you’re going to give away and couldn’t even spend it all if you wanted to, why then are you devoting your time to a company that’s not really doing anything good? That’s why I find Elon to be an inspiring example. He said, ‘Well, what should I really do in this world? Solve cars, global warming, and make humans multiplanetary.’ I mean those are pretty compelling goals, and now he has businesses to do that.”

As Page puts it, “Good ideas are always crazy until they’re not.” It’s a principle he’s tried to apply at Google. When Page and Sergey Brin began wondering aloud about developing ways to search the text inside of books, all of the experts they consulted said it would be impossible to digitize every book. The Google cofounders decided to run the numbers and see if it was actually physically possible to scan the books in a reasonable amount of time. They concluded it was, and Google has since scanned millions of books. “I’ve learned that your intuition about things you don’t know that much about isn’t very good,” Page said.

Relentless Drive

“We think of SpaceX and Tesla as being these tremendously risky things, but I think Elon was going to make them work no matter what. He’s willing to suffer some personal cost, and I think that makes his odds actually pretty good.

The pressure of feeling the need to fix the world takes its toll on Musk’s body. There are times when you run into Musk and he looks utterly exhausted. He does not have bags under his eyes but rather deep, shadowy valleys. During the worst of times, following weeks of sleep deprivation, his eyes seem to have sunk back into his skull. Musk’s weight moves up and down with the stress, and he’s usually heavier when really overworked. It’s funny in a way that Musk spends so much time talking about man’s survival but isn’t willing to address the consequences of what his lifestyle does to his body. “Elon came to the conclusion early in his career that life is short,” Straubel said. “If you really embrace this, it leaves you with the obvious conclusion that you should be working as hard as you can.”

Suffering, though, has always been Musk’s thing. The kids at school tortured him. His father played brutal mind games. Musk then abused himself by working inhumane hours and forever pushing his businesses to the edge. The idea of work-life balance seems meaningless in this context.

It bothers Musk a bit that his kids won’t suffer like he did. He feels that the suffering helped to make him who he is and gave him extra reserves of strength and will. “They might have a little adversity at school, but these days schools are so protective,” he said. “If you call someone a name, you get sent home. When I was going to school, if they punched you and there was no blood, it was like, ‘Whatever. Shake it off.’ Even if there was a little blood, but not a lot, it was fine. What do I do? Create artificial adversity? How do you do that? The biggest battle I have is restricting their video game time because they want to play all the time.

To fund part of this unbelievably ambitious project, SpaceX secured $1 billion from Google and Fidelity. In a rare moment of restraint, Musk declined to provide an exact delivery date for his space Internet, which he forecasts will cost more than $10 billion to build.