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Tesla cuts range of cars to streamline production as investors lose heart

Simon English
Tesla: Shares have plunged 30% since Musk first tweeted about the potential buyout: REUTERS

Billionaire Tesla founder Elon Musk on Tuesday made a bid to improve the company’s struggling production efforts by stripping back the ranges of his electric cars.

The move to take two of Tesla’s colours off the menu “to simplify manufacturing” comes after a chaotic summer for the company and its increasingly erratic founder, which has shaken investor confidence.

Musk recently lost his chief accounting officer after less than a month in the job, then smoked pot during a late-night podcast hosted by a California comedian, sending the share price down by as much as 10%.

Musk is struggling to hit a production target of 5000 Model 3 cars, even sleeping on the floor of the factory in Fremont, California.

The entrepreneur stunned investors in August with tweets saying he had funding to take the company private for $420 per share, before backing off from his plan and saying Tesla was better off as a public company.

He has also launched a string of attacks on British cave diver Vernon Unsworth, who is taking legal action.

The shares have plunged 30% since Musk first tweeted about the potential buyout.