Tesla has seen its profits more than halve this year, and says it will bring forward the launch of new models after announcing thousands of job cuts to try to reverse its fortunes.
Despite plans to bring forward new models originally planned for next year the firm is cutting its workforce.
Tesla said it would lose 3,332 jobs in California and 2,688 positions in Texas, starting mid-June.
The cuts in Texas represent 12% of Tesla’s total workforce of almost 23,000 in the area where its gigafactory and headquarters are located.
Didn’t Tesla already have issues with production anyways? Job cuts just seem like they’ll exacerbate the issue.
tesla was always a pump and dump. build it up quick, use it as financial vehicle, GTFO before it falls over.
they have never had an exit strategy or long-term plans for their products.
Who could see this coming when the decided to spend so much time and money developing an expensive steel box that rusts. Imagine if the CEO had any idea what they were doing and decided to focus on making actual cars
A company who’s unable to meet customer demands should not be this profitable. It should use it’s revenue to invest back into growing the business to meet customer demand. This should be the real headline.
There’s a lot in East Austin near the Giga factory with hundreds of Cybertrucks that don’t seem to be moving…
Honestly though, the size of that building is obscene. It’s hard to look at it and not think vanity is playing a serious role in top-level decision-making at Tesla.
Lower sales > Lower profits > cuts across the board (except c level) > lower quality > lower sales … aka the death spiral… hope they can halt the decline but their unique position as the only real electric car brand ended 5 years ago… with their prices they compete with Audi, Mercedes, BMW, and the other premium brands.
with their prices they compete with Audi, Mercedes, BMW, and the other premium brands.
‘compete’ hahahahahaha
Other than on price, Tesla is just not on par with premium German brands.
And the Chinese EVs beat everyone on price…
But Americans aren’t allowed to buy them
If we had access to those, lots more Americans would be driving EVs.
In the company’s last earnings report in January, Chief Executive Elon Musk warned about the competitiveness of Chinese brands. BYD, China’s largest EV maker, surpassed Tesla in car sales last year.
"If there are not trade barriers established, they will pretty much demolish most other car companies in the world,” Musk said.
This year, Manhattan Beach-based Fisker Inc., an electrical vehicle startup, cut 15% of its workforce, had its stock delisted and said it might file for bankruptcy protection. Apple also recently announced an end to its long-held ambitions of making a self-driving EV.
https://www.latimes.com/world-nation/story/2024-04-19/china-ev-war-tariffs-tesla
We’re not allowed to buy them because other companies can’t compete, but even without being able to buy them, EV makers are going out of business.
The rich get protected while consumers and the environment gets fucked over
- Fire workers to save money
- Loss of productivity losses money
- Fire workers to save money
- Loss of productivity losses money
- ???
…
?. Profit
I wonder why their after hours stock price skyrocketed.
Weren’t people estimating a *2027 end for Tesla bc they haven’t been working on new models? They put their efforts into the meme “truck” instead of the roadster. They have been slashing prices yet demand for EVs, especially theirs has been dropping. All the while, their main spokesman has been a toxic deterrent. Meanwhile, these douchelords think The ceo should get a $56B payout?
Weren’t people estimating a 2007 end for Tesla bc they haven’t been working on new models? They put their efforts into the meme “truck”
What? How is that supposed to make any kind of sense?
It’s sad to say, but I’m glad we’re at a point where shareholders now look at job cuts as a negative, and layoffs don’t result in an increase in share price.
Amazon have been cutting jobs for their third year running now, on top of URA, and the only thing keeping our CEO in a job right now is happy shareholders.
You must be looking at a different chart.
God fucking damnit, I hate Wall Street.
We sold fewer cars than expected, lost money, revealed that even though we’re making 1000 Cybertrucks a week we’ve only sold 4000 of them and had to recall every single one because we fucking glued the foot pad onto the accelerator pedal, and had our lying sack of shit CEO’s compensation nerfed by a judge so in response we’re gonna fire 6000 people.
Line go up.
Stock splits
“Holy shit guys, it’s cheap now, buy, buy, buy!”
