The planet is going to die now. Human life will end.
On the bright side - Without a $30,000 Tesla battery life is not worth living so extinction will be merciful.
The home battery storage system costs $30,000 and the package costs $70,000.
This will be a strong seller in third world countries where the electric grid is not reliable.
Good point. But I think the real message from Debra is that if you question Elon then you are a unbalanced and maybe insane.
They same would go for anyone who questioned Fisker, until it went under. Once the scam unravels then, of course, everyone knows it was a scam and it doesn't apply. Mentioning the many silicon valley scam that have failed is not necessary.
What you need to do is create the idea that Tesla is the next Apple.
Apples started with a profitable product and now has a diverse product line. Some of their products are profitable others are not. When they launch a product that is not profitable they can do something amazing - they can stop making it and stop losing money.
Tesla cannot do that. They are stuck with the Model S. A niche market car that loses money.
((( I'm going to go with E) none of the above makes money )))
Correct. but on the bright side Tesla is not going to make money in 2015 or 2016 or even 2017. Then, by some magic, in 2018 they are going to lose money. But then in 2019 they will lose more money.
This is actually what the CEO claims - no profits until 2020.
Tesla is burning lost of cash. They need periodic infusions and thus they need to expand the scam to draw in more suckers.. err .. I mean investors.
Tesla is cutting production in Q1.
Demand does NOT equal sales.
Sales are the only thing that really count because the revenues from sales gets booked on the P/L statement.
Tesla is a scam. It is partially based on the idea that there is "insatiable demand" for EVs.
If you live in a California or Norway you might see evidence that Tesla's cars are popular. These is pockets of demand for the car in areas where the government gives out generous incentives. Tesla has tapped into the demand and sold cars. A lot of the "growth" was pent up sales that they filled in 2013.
But that is over. Tesla is now dealing with the real world every day steady state business of selling cars.
-They are offering incentive
- they are building cars for inventory
- they cut production
They are going to lose money in Q1.
((( That's what they said about Amazon's cloud infrastructure )))
Using your logic Fisker was a great company because Amazon is making money.
A.) Tesla makes EVs.
B.) Tesla sells EVS.
C.) Tesla provide charging services.
D.) Tesla makes part for other OEMS.
Which business makes a profit?
Story 1: Tesla is a MUST HAVE vehicle. People are chomping at the bit to buy a Tesla.
Story2: If it snows people won't buy cars from Tesla. They will delay the purchase for 3 months and take delivery in a later quarter.
Great post. Tesla is running out of money again and now, all of a sudden, they will need to spend "obscene" amounts of money on CAPEX. And yes, you have it right about the "new value story."
No one makes money selling EVs. Tesla was supposed to be the exception. The Model S is just more proof that making EVs is not profitable.
That's where the home storage scam comes into play. You see most people today want to spend $30,000 on a home battery system so they can have power in their homes 24/7. The only other way to have electric power 24/7 is to pay an evil utility company $35 to turn on electric service. No one wants to do that. That's $35 down the drain.
Tesla is burning cash. Sales are declining in Q1. The debt is coming due in 2018. Tesla debt is rated junk. They failed to sell 35,000 last year. The Model X is delayed. The are raising prices in Europe. More competition is coming. California cut the number of ZEV credit they receive.
And now they need money again.
I was going to buy a car yesterday but it was snowing so I guess I will have to until next quarter.
((( Why would they build a gigafactory if no battery shortage existed? ))
They needed the cash. They borrowed $2.x billion. Almost none of the money went into the giga-scam. it is being used to keep the lights on.
$108,000,000 loss in Q4.
If you buy a $10,000 battery from Tesla then you can watch TV anytime your want.
If you don't buy a $10,000 battery from Tesla then you can watch TV anytime your want.
The demand is insatiable.
"insatiable demand." "insatiable demand." "insatiable demand." "insatiable demand."
Why did you stop? Close your eyes and continue the chant until 2020. Then you can open your eyes and look at the new world Elon has us.
Virtually everyone in the USA has electric power supplied 24/7 by the grid.
No one needs a huge battery taking up space.
((( The whole package of 10 kWh cannot really end up being more than $3500 to be anywhere near economically feasible. ))
You can price the systems online. They don't make sense (buying juice is cheaper) but if you want one then they are available.
It looks like sales are coming back in Norway. Nothing great but a small bounce.
Q3 - 401
Q4 - 501