TSLA is dropping roughly 6% at the commencement of today's session
The Wall Street Journal broke a storey – covered yesteryear everybody – that sounds every bit a joke but I remember it's true. Elon Musk's companionship has asked a supplier – together with most likely, really many if non all suppliers – to provide roughly coin (50-100 percent) that lead maintain already been paid yesteryear Tesla for the parts that Tesla bought since 2016 "in lodge to plow Tesla profitable".
It's incredible. After roughly $10 billion has been sucked from the pockets of the U.S. taxpayers, additional tens of billions were sucked from the pockets of the brainwashed Tesla fans amidst machine buyers, investors, together with lenders, the companionship even then can't afford to pay the normal toll of the parts – fifty-fifty parts that lead maintain already been delivered together with paid. Crony capitalist Elon Musk has move then incredibly arrogant together with "entitled" that he believes that his occupation concern partners are obliged to house his beingness a billionaire, or Tesla's profitability, to a higher house their ain profitability or fiscal survival.
They would last consummate loons to provide whatsoever of the cash. But it's plausible that roughly of the supplier companies are managed yesteryear Tesla fans who genuinely are loons, then anything is possible.
When an understanding is reached most the delivery, it becomes really problematic for ane side to unilaterally demand changes of the toll – but it's happening. However, to "change the price" retroactively, ane or 2 years after the parts were genuinely paid for together with delivered, it's only obviously insane. Why would a supplier trim its ain profitability only inwards lodge to brand Tesla profitable? Why would a supplier or anyone else desire to move a charity together with if it became a charity, why would a billionaire last considered the needy?
Can I larn dorsum the coin that I lead maintain paid for obsolete electronics years ago?
I remember that the sentiment that at that spot may last a "game theory" explanation why this would last a skilful thought is only flawed. Tesla has been making a loss for fifteen years together with it hasn't been an existential work for Tesla together with the suppliers. Maybe if Elon Musk revealed that Tesla is facing imminent insolvency, that could larn inwards meaningful for the suppliers to bail out Tesla together with salve their customer who may purchase the products inwards the future. But if the insolvency were genuinely imminent, it would last a much improve (and perhaps important) project design for the suppliers to larn every bit much cash from Tesla every bit possible.
It reminds me of a joke yesteryear Ivan Mládek that I volition adapt. Elon Musk has realized that he needs roughly parts for his Tesla cars but they lead maintain both advantages together with disadvantages:
- The payoff is that they assist the Tesla cars to last operational.
- The disadvantage is that Tesla must pay roughly coin which guarantees that Tesla makes a loss.
Influenza A virus subtype H5N1 commenter at the Wall Street Journal every bit good posted roughly other missive of the alphabet that may last sent inwards the close futurity – I had the same thought together with it's roughly every bit follows:
Dear user of the Tesla car, a fellow member of a community where the futurity is already the present,The U.S. authorities volition larn a similar missive of the alphabet that mentions results of elections together with blackouts.
nosotros are certain that you lot are enjoying your Tesla. We figured out that those $138,800 you lot paid weren't quite plenty to comprehend our expenses together with the turn a profit that the companionship that has built the futurity deserves. So nosotros revised the figure together with your machine genuinely costs $419,900. The amount covers the higher expenses, profit, together with involvement that nosotros calculated for you.
We believe that you lot volition concur amongst a occupation concern innovation: the machine toll $138,800 that you lot lead maintain paid volition last turned into a regular monthly fee. We recommend you lot to transportation the fee earlier tenth of every month. Just a friendly reminder, our Autopilot may kill the driver if the driver doesn't follow all the instructions from Tesla, Inc.
Sincerely Yours
Elon Musk together with friends at Tesla, Inc.
In the history of the fiscal markets, lots of companies lead maintain regard problems but I remember that no CEO has ever demanded similarly childish methods to improve the situation. Elon Musk is the ultimate spoiled brat of the corporate basis – he's a production of the global warming hysteria, security spaces, multi-billion subsidies for useless enterprises that lead maintain been turned into a human right, together with a phenomenon on the edge betwixt the worlds of finance together with religion that has allowed Musk's conduct together with expectations to last increasingly insane because fifty-fifty when the insanity reaches the stars, he volition ever notice members of the cult who volition defend him.
Tesla has been a companionship that was producing an exponentially increasing loss inwards the fifteen years of its existence. Every loss together with every failure has been "compensated" yesteryear promises of an fifty-fifty greater revolutionary project design for the next years, together with those were guaranteed to create an fifty-fifty greater loss. The companionship wasn't able to accomplish the production target for a long fourth dimension – together with when it did, amongst a huge delay, it's losing the reservations en masse.
Lots of people start to find their mutual feel – what they're waiting for is only an ordinary electrical car, together with non a terribly luxurious one, together with basically every machine companionship tin create such an electrical machine if a fiscal loss isn't considered a problem. Better electrical cars already be today together with the adventure for Tesla cars to last "special" is going to fade really chop-chop inwards the next twelvemonth or two. The electrical cars are inconvenient because the charging takes a lot of fourth dimension (Porsche's network is expected to triple Tesla's speed) together with requires you lot to last at a exceptional house – the network of charging stations is really sparse. On pinnacle of that, all the Tesla machine users are risking that when Tesla runs out of business, then volition the charging network together with their machine volition move unusable.
All these problems lead maintain been known from the commencement – well, non only from 2003 when Tesla Motors was founded but to a greater extent than or less for 100+ years when the electrical cars existed. Elon Musk wanted to invalidate the reality together with there's a whole religious displace that doesn't desire to regard roughly basic facts. In their efforts to defend the indefensible, they're willing to suspension many laws including the laws of mutual feel inwards finances – for illustration the constabulary that a companionship (as good every bit an individual) wants to maximize its (or his) ain profit, non the turn a profit of roughly other company. Why should this thesis last correct? It's then obsolete. ;-)
Every human should dedicate his or her life together with assets to Elon Musk for him to last every bit wealthy every bit possible together with to Tesla to last saved, right?