Many see the forced changes as being positive for Tesla, partly because the mercurial Musk will now have someone to answer to, and partly because his reduced role may allow the chronically overworked CEO to focus more. With products like the Model S, Model X and, even with its production woes, the Model 3, it's easy to see why. Of course, as with all things Tesla, all that performance is on top of industry-leading aesthetics and a tech-filled package.
Musk, whose tweets on August 7 on a plan to take Tesla private that was later abandoned, has tweeted only once since the settlement was announced - posting a music video by rap group Naughty by Nature. The "false and misleading" claims, as the SEC called them, risked misleading investors into thinking the company already had the funding to go private.
The settlement comes just two days after the SEC sued Musk for fraud and sought to block the way of entrepreneur from running affairs of Tesla or any other publicly-traded company.
Mr Musk, Tesla's controversial co-founder and chief executive, bowed late on Saturday to demands from America's financial markets watchdog to relinquish his seat at the head of the board.More news: Pakistan says India lost opportunity of dialogue on important issues
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"It is possible that the DOJ investigation does not result in any criminal charges at least in part because the DOJ could determine that the SEC's action resolved the matter and that no further governmental action is required".
It is set to release third quarter production numbers that will show whether the production level it reached at the end of the second quarter - when it produced 5,000 Model 3 cars a week - was a blip or sustainable. Later in the weekend, he added that "we are very close to achieving profitability and proving the naysayers wrong, but to be certain, we must execute really well" on Sunday.
The settlement also requires Tesla appointing two new independent directors, and Tesla setting up a "new committee of independent directors and put in place additional controls and procedures to oversee Musk's communications".