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Meh, they’ll figure it out like they always do. Engineering and manufacturing is hard. They’ve got $20B cash equivalents on hand and an $800B market cap, with a 2M unit/year run rate. I bought my S when I was concerned about their ongoing viability, but no longer concerned. The brand has strong enough legs, they’ll survive almost anything now. I’ve been hearing the rumors of Tesla’s death since the first roadster.


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Nobody's talking about Tesla's death (they're the most heavily subsidized US company today outside of military contractors/weapons manufacturers). But Tesla specifically has consistently ranked as one the least reliable brands of any automobile manufacturers. Even if you only look at EV manufacturers

https://www.teslarati.com/tesla-placed-bottom-consumer-repor...


Doesn’t matter what they’re ranked, they sell every car built at margins higher than any competing automaker. All that matters is the balance sheet, opinions can be ignored unless materially impacting volume.

“This one weird trick.”


Yes, because

> They're the most heavily subsidized US company today outside of military contractors/weapons manufacturers

Without the American taxpayer doing more than their fair share to keep them solvent, they’d be selling at 30-40% more.

And they’re not selling. It’s why Musk started offering 84-month financing; to try and convince people to come buy them.


Global auto market is 80 million units a year. Tesla will be able to sell into a market somewhere, even if a market softens. They also sell $20B-$25B/year of stationary storage, and are sold out for the next 2 years.

Subsides are good if you believe in climate change. The top 40% (by income) of Americans pay federal income tax, they can afford to provide EV subsides. If you don’t believe in climate change, there is no value in a conversation.


There’s no reason to think that’s a permanent state of affairs though. Stellantis claims to have better margins than Tesla.

Tesla sells a large portion of vehicles in China where the margins are tiny compared to those in the US market. https://www.reuters.com/business/autos-transportation/stella....


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