Watch Tesla Model 3 explored in close detail

Watch Tesla Model 3 explored in close detail

Watch Tesla Model 3 explored in close detail

In February, Tesla said it would finalize locations for its next three Gigafactories by the end of the year and was exploring production capabilities in Europe and Asia, adding to the Gigafactory in Nevada and solar panel facility in New York.

Now, Elon Musk is keeping vigil at the Gigafactory, where the Model 3 is manufactured, spending most of his waking hours - and then some typically meant for sleeping - there, even conducting Wednesday's call from the plant.

Tesla now doesn't expect to ramp up Model 3 production to a rate of 5,000 a week until sometime in March, several months behind schedule, and Musk declined to commit to a timeline for reaching 10,000 a week - a key volume milestone that analysts believe could help lead to the vehicle's profitability.

In response to a Wall Street Journal story about Model 3 parts being made by hand, Tesla said in a statement "For over a decade, the WSJ has relentlessly attacked Tesla with misleading articles that, with few exceptions, push or exceed the boundaries of journalistic integrity".

Some of Tesla's manufacturing lines, including those for drive units, seats, paint and stamping, have the ability to make more than 1,000 cars per week during "burst builds of short duration", they wrote. Wednesday night, Tesla posted another loss, greater than the one before it, but with revenues and sales hitting record highs at the same time. "We can only move as fast as the least competent elements of that mixture".

In opening remarks on an earnings call today, Musk said he was "doing this call from the Gigafactory because that's where the production constraint is".

The company burned through $1.4 billion in cash during the quarter as it continued to invest heavily in manufacturing operations.

Musk also criticized recent news articles reporting that Tesla had fired hundreds of workers, which anonymous sources suggested were union-leaning. That's far below the 1,500 Tesla was hoping to have delivered by this time. "And it would be serving the China market", he clarified, noting that the factory would probably only make Model S and as-yet-unannounced Model Y vehicles.

A robot election: "When the system encounters a dilemma, it essentially holds an election, by deducing the votes of the 1.3 million voters, and applying a voting rule", Procaccia said. Overall, the company hopes Model S and Model X deliveries will reach about 100,000 for the year.

Tesla brought its own top engineers in to focus on the battery module manufacturing automation to "fine-tune the automated processes and related robotic programming".

But while the delays were partially due to a subcontractor, not Tesla, Musk said he took full responsibility for them: "At the end of the day, everything is our fault - and my fault first of all".

Comparing that to the Model 3 body welding video that was also embedded in the quarterly earnings letter, they still have a ways to go. Used car sales were up, as well.

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