Quote:
Originally Posted by m3m3mr
Tesla has never turned a profit and if the Model 3 doesn't change that, it could get ugly much faster than 10 years. Wall Street will only prop this company up for so long without a profit. Musk is burning through money yet some how people think he's a genius for selling cars at a loss.
|
I totally agree with you and your point actually makes my point more valid. He doesn't care about selling cars at a loss. He knows Wall Street will keep them propped up on the cult like following alone for many years which gives him time to validate and strengthen his proof of concept, which is that batteries are a very viable option for the future of the car and more(not today but getting close and not for everyone). Once he is happy with where the research is on the battery development I think you will see him dump the car company as fast as possible.
Think about it. Would you rather deal with the incredibly difficult pain in the ass consumer for each and every car sold or would you like to be the worlds largest battery supplier which is an industry that far exceeds that of the automobile industry? I'd take door number two every time and so would most smart businessmen. He will happily take every car companies money when it comes time for them to actually put a viable electric car out there and he will likely own nearly 100% of market share. I would call that absolute genius.