Tesla shares plunged 29.3% in 2025, losing $380 billion, due to weak demand and controversy with Trump, as Microsoft became the market leader

Tesla suffered a significant loss in market capitalization of 29.3%, equivalent to $380 billion, in 2023, due to reduced demand for electric vehicles and controversies surrounding CEO Elon Musk. Shares fell 14% after Trump's threats over government contracts. In contrast, Microsoft benefited from demand for artificial intelligence services and became the most valuable company, while Apple fell to third due to weak demand and tariff threats.