HTSS_TR
Thread starter
Originally Posted By: Quattro Pete
Musk was interviewed on NPR the other day. He said he was actually surprised Tesla was still alive. He fully expected it to be out of business by now. I guess you could call him a realist...
He was probably talking about the first car they had, the 2-seat spider. That car was a very low volume car, no car company can survive with a single extremely low vehicle.
But after the introduction of Model S Tesla was not only survive but growing, not at rapid pace but not in danger of folding either.
If Musk didn't believe in the potential growing of electric vehicles he didn't build the Mega Factory in Nevada, that huge battery factory costs upward $5 billions. This factory is to produce batteries for Model 3 and power storage for business and home use.
The main problem with Tesla is ramp up production volume for Model S, X and 3. Currently, the Fremont factory may not be able to make 500,000 vehicle a year as they plan to do in 2020.
Talking about losing money every quarter, Tesla is in expanding mode and like every start up company in the last 30-40 years they all lost money the first few years.
When did FedEx have the first full year profit ? How about Amazon, how many years did they lost before they had a full year profit ?
An expanding car company needs to buy a lot of expensive equipments/tools, a ton of money went into R&D ... and for building $5 billions battery factory, that why Tesla is losing money(revenue minus expense).
If EV is a loosing investment then why most European car companies are getting into the game ? Don't they have bean counters ? We all know that bean counters don't care about anything other than profit, no profit no way.
Musk was interviewed on NPR the other day. He said he was actually surprised Tesla was still alive. He fully expected it to be out of business by now. I guess you could call him a realist...
He was probably talking about the first car they had, the 2-seat spider. That car was a very low volume car, no car company can survive with a single extremely low vehicle.
But after the introduction of Model S Tesla was not only survive but growing, not at rapid pace but not in danger of folding either.
If Musk didn't believe in the potential growing of electric vehicles he didn't build the Mega Factory in Nevada, that huge battery factory costs upward $5 billions. This factory is to produce batteries for Model 3 and power storage for business and home use.
The main problem with Tesla is ramp up production volume for Model S, X and 3. Currently, the Fremont factory may not be able to make 500,000 vehicle a year as they plan to do in 2020.
Talking about losing money every quarter, Tesla is in expanding mode and like every start up company in the last 30-40 years they all lost money the first few years.
When did FedEx have the first full year profit ? How about Amazon, how many years did they lost before they had a full year profit ?
An expanding car company needs to buy a lot of expensive equipments/tools, a ton of money went into R&D ... and for building $5 billions battery factory, that why Tesla is losing money(revenue minus expense).
If EV is a loosing investment then why most European car companies are getting into the game ? Don't they have bean counters ? We all know that bean counters don't care about anything other than profit, no profit no way.