this post was submitted on 10 Dec 2023
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Clickbait title, I apologize but its Rule5 to keep the original titles.

This article performs a business analysis on Elon Musk, and where the money seems to have been going with regards to Tesla, SpaceX, and of course Twitter this year. With $1.3+ Billion interest payments coming up, Twitter is likely low on cash soon.

It seems premature to call Elon out (ie: the clickbait title is too clickbait), but this article makes a good case why Elon's financial situation across these companies is in trouble.

With regards to Tesla itself: Cybertruck is a dud that is only there to hype the stock price at this juncture. With only 10 deliveries from the delivery event, "2024" for the start of the limited production $80,000 model and an unknown "2025" date for the cheaper mass production model, there's no hope for Cybertruck to be financially relevant any time soon.

With Rockets exploding at SpaceX, with Tesla ramping up production (ie: $$$$$$ spent), and Twitter losing $Billions/year on interest alone (let alone all the other costs going on), the article suggests that a Twitter bankruptcy is in Elon's best interest to keep things moving.

An interesting argument, we will see how it plays out over the next year.

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[–] Jode@midwest.social 13 points 11 months ago (3 children)

Demand is fickle because supply consists of 80k dollar luxury barges. Think of all the engineering capital wasted on that cyber truck vanity project that could have been poured into a decent mass market vehicle.

[–] skip0110@lemm.ee 2 points 11 months ago (1 children)

They make Toyota-ish margins on ~$53k asp, roughly $10k more than Toyota. Just not a lot of meat on the bone for an EV…

[–] Jode@midwest.social 3 points 11 months ago

Well they can have some money for selling a reasonably priced vehicle to sombody or they can have no money at all for not selling an overpriced vehicle to anyone.

[–] AA5B@lemmy.world 1 points 11 months ago* (last edited 11 months ago) (1 children)

While I agree with the general sentiment, y’all have to look at the actual prices - that price is for Tesla’s high end car. Most people don’t buy those.

I see below a comment on $53k, but that is for the middle trim Model Y. There’s a lower trim, and the Model 3 is cheaper. And other brands are cheaper still

But yeah, this is the point of government incentives: to goose the market to try to get higher volume and lower cost more quickly. In my state, you can get $11k total incentive, plus low income can get an incentive to help wire in a charger. The net result is similar to many gas powered vehicles, except I paid $17 to refuel for an entire month

[–] Jode@midwest.social 2 points 11 months ago (1 children)

So the low trim is 40k, even 30k is far too much for normal people. Don't get me wrong on this though I desperately want an electric car. I just can't justify it right now, even used.

[–] AA5B@lemmy.world 1 points 11 months ago

For sure, price is still a problem, but it’s only half what your comment said. It’s closer than many people think and it’s getting there

[–] Diplomjodler@feddit.de 1 points 11 months ago (1 children)

What I meant is that all manufacturers are facing demand issues right now.

[–] AA5B@lemmy.world 1 points 11 months ago

I read one article trying to put this in perspective, stated EVs growth was 25% over the last year, the fastest growing car segment. However manufacturers had planned for 100% growth. Who does that? Also different brands had different demand, and finished that it might be affected by who developed compelling h vehicles and effectively marketed them, with dealers that sell them. There’s way too many problems with this picture to simplify it to “there’s no demand”