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Martin Forest Eberhard is an engineer, Silicon Valley entrepreneur, and inventor. Alongside Marc Tarpenning, he co-founded Tesla, Inc. (formerly Tesla Motors) in 2003, serving as the company’s founding President and its CEO until late 2007.
Eberhard began his professional career as an electrical engineer at Wyse Technology, where he developed the WY-30, an ASCII computer terminal. In 1987, he co-founded Network Computing Devices (NCD), serving as chief engineer through the company’s IPO in 1992. At NCD, he contributed to the design of several successful products, including network terminals for the X Window System.
In 1996, Eberhard co-founded NuvoMedia with Marc Tarpenning. The company developed the Rocket eBook, one of the earliest eBook readers, which offered secure web-based content distribution. Eberhard held the roles of Chairman and CEO until the company was acquired by Gemstar-TV Guide International in 2000.
Driven by concerns over oil dependency, climate change, and a passion for high-performance automobiles, Eberhard set out to create a new kind of electric vehicle. In 2003, he and Tarpenning founded Tesla Motors in San Carlos, California, with Eberhard serving as the company’s first CEO.
Eberhard's vision for Tesla was centered around several key principles:
(1) Electric vehicles need not be compromises. With the right engineering, they can outperform traditional internal combustion engine vehicles.
(2) Battery technology is at the heart of electric vehicle success. Lithium-ion batteries, he believed, could offer not just viability but high-performance range.
(3) Electric vehicles can appeal even to automotive enthusiasts by delivering superior speed, torque, and design.
Under Eberhard’s leadership, Tesla developed the Tesla Roadster, introduced in 2008. This battery-electric vehicle was based on the AC Propulsion tzero prototype and used lithium-ion batteries, achieving a notable EPA-rated range of 244 miles (393 kilometers) per charge. Eberhard drove the second production Roadster, while the first was retained by the company as a demonstration vehicle.
On November 30, 2007, Tesla announced via press release that Eberhard would transition to a position on the company’s advisory board. Reports from December 2007, including in Fortune magazine, suggested Elon Musk, then Tesla’s Chairman, had requested the change. Musk later cited ideological differences as a reason for Eberhard's departure from the leadership team.
In January 2008, The New York Times reported that Eberhard had moved from the board of directors to an advisory role. Speaking publicly on the matter, Eberhard indicated he was bound by a non-disclosure agreement and had to be cautious in discussing the departure.
Eberhard later expressed criticism of internal decisions at Tesla in a now-suppressed blog titled Tesla Founders. In June 2009, he filed a lawsuit against Musk for libel, defamation, and breach of contract, alleging Musk had forced him out and damaged his reputation. The case was withdrawn in August 2009, reportedly following a private settlement. Tesla acknowledged that a resolution had been reached but declined to provide additional details.
Despite the legal dispute, Eberhard stated in an October 2019 CNBC interview that he remained a Tesla shareholder and continued to wish for the company's success.
Martin Eberhard was born on May 15, 1960. He earned a Bachelor of Science in Computer Engineering in 1982 and a Master’s in Electrical Engineering in 1984, both from the University of Illinois at Urbana-Champaign. In 2015, he was inducted into the University’s Engineering Hall of Fame in recognition of his professional achievements.
He met his wife, Carolyn, while attending the University of Illinois. The couple has been long-time supporters of the university's College of Engineering, contributing annually since 1984.
In recounting Tesla’s origin, Eberhard once shared a personal anecdote: after months of discussing naming ideas with Carolyn, he was inspired while dining at Disneyland’s Blue Bayou restaurant. The name "Tesla" struck him, perfectly capturing the innovative spirit he wanted the company to embody.
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