Reply to post: Re: No profit in 15 years? Is he soon going to have to wake up and smell the roses?

Tesla undecimates its workforce but Elon insists everything's absolutely fine

Jellied Eel Silver badge

Re: No profit in 15 years? Is he soon going to have to wake up and smell the roses?

Nope, it's not. Fiduciary officers still have a duty of loyalty to the company, even in Delaware. Whilst it may be true that the first duty is to the company, it also extends to the body of that company, ie it's investors and creditors. And there's abundant case law where officers have acted in their own or against company interests, and been held personally liable for it.

That aside, here's an old statement from Tesla:-

Capital Efficiency . We believe our rapid product development process, our modular and adaptable powertrain, our plan to design and manufacture multiple product types on a singular platform, and our ability to hold lower inventory levels while still meeting customer demand will help reduce the capital required to reach operating efficiencies. <b.This approach is designed with the aim of allowing us to achieve profitability at relatively low volumes and create a viable long-term business.</b>

From their 2010 s.1 IPO prospectus. Forward looking statements aside, it seems a pretty clear statement of intent.. Which they're still working on delivering. Like many thousands of Model 3's. But as the old joke goes, if they're losing money on each car now, I'm sure they'll make it up in volume.

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