I don't think there is any danger of Tesla putting GM out of business. You give Musk much more credit than he deserves. GM is their own worst enemy.
While Tesla does not "have to be profitable" at this point, the whole thing is a big Ponzi scheme. Musk is taking huge deposits and prepayments for cars that are not yet even on the build schedule to finance the production of cars that were long paid for. Sooner or later, this will come home to roost. Somehow, when Tesla fails, I don't expect a government bailout to be forthcoming.
Bear in mind that Preston Tucker was very nearly jailed for less than Elon Musk is doing today.
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