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Discussion Starter · #1 ·
Wow, in an interview Elon Musk admitted what I have been saying for a while, Berlin and Austin are burning Billions of dollars in cash as they struggle to get production going, short on battery supply, and Austin is a disaster with 4680. Here is Elon's quote;

"Both Berlin and Austin factories are gigantic money furnaces right now. Okay? It's really like a giant roaring sound, which is the sound of money on fire," Musk said in an interview with Tesla Owners Silicon Valley

 

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Discussion Starter · #3 ·
yeah, Berlin was having regulatory issues then came the war and other issues with Tesla trying to understand German Union.
Berlin is the factory that had hundreds of Blem bodies outside for recycling, and the pile grew this week. They are clearly trying to speed things up, but not as smooth as China when they started.

Austin though is the real problem, only a handful of cars built per day due to 4680 battery ramping problems, and their tooling to build 2170 cars at Austin is stuck on a pier in Shanghai.

Tesla has management problems, Elon sets impossible targets, ad then leaves management to "figure it out" , this is why they burn through executives and never seem to have stability in operations for long.
 

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Discussion Starter · #5 ·
Ah, that explains Musk's comments on Rivian and Lucid. Tesla is burning cash towards bankruptcy so they must be too. Projection at its finest.
Well, I do not think Tesla has to worry about BK, but I think they will have pretty dramatic negative cash flow in Q2, Sales expected to be about 20% below Q1, which is about- $4B in revenue, then the expense of 2 factories starting to ramp $500M Bitcoin loss, I see Tesla having a breakeven quarter on earnings, and about 4B in cash burn, $17B cash pile down to $13B or so, still comfortable, but the 4680 problem is not solved yet, so Q3 could have weak numbers too.

Really, this gives Tesla's competitors a chance to gain some ground on the big dog, but the big dog is still big.
 

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Discussion Starter · #9 ·
I still think it's weird they are trying to make batteries into a structural member. Seems like there's a lot of risk in doing that in minor accidents.
Ya, I saw the cutaway in Austin, it's not like what I expected, and looks more complicated for the little gain. Weight savings was 140 lbs on the Y, but that Y also has 20% less range, so the weight might be more part of less battery than the structural pack. I would prefer a pack that can be removed and serviced, and take a slight weight penalty
 
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