Elon Musk Fires Up a Company Shake‑Up
DATE: May 15, 2018 – 2:45 AM
LOCATION: Washington, D.C.
Elon Musk, the maestro behind Tesla’s electric‑car empire, sent an email to the entire crew Sunday night. He’s keen on sprucing up the ship after a storm of production hiccups, high‑profile exits, and a few terrifying crashes.
What Musk’s Message Tells Us
- Flatten the hierarchy. “We’re slimming the org chart so people can talk to each other without screaming for a translator.”
- Blend roles & cut excess. “We’re merging jobs that overlap and ditching tasks that don’t move the needle toward winning the mission.”
- Affirmation: The Wall Street Journal got the first scoop. Tesla confirmed the email’s authenticity.
The Model 3 Meltdown
At a “critical juncture,” Tesla feels the pressure to repair the tumultuous launch of the Model 3 sedan. This mid‑market car is supposed to be the company’s ticket to mainstream and profitable future. Reality? — Production problems abound.
Stocks dipped 3% to close at $291.97 on Monday; a telling sign of the nerves in the auto‑sector.
Staffing Shuffle
- Senior execs stepping down or trimming roles (e.g., Doug Field, senior VP of engineering, is taking a breather).
- Waymo’s latest hire: Matthew Schwall, former Tesla tech lead on US safety investigations.
New Vehicles & Global Moves
- Next‑gen vehicles under boards: A semi‑truck and others are in the pipeline.
- New Shanghai auto firm marks a bold sticker in the Chinese market, hinting at future production expansion.
What Musk Said at the Earnings Call
On May 2, during the earnings call, Musk declared a reorganization would take place that month. He didn’t spill the beans—just mentioned:
- He’d cut back on third‑party contractors, calling them “barnacles that need to be scrubbed off.”
In short, Tesla is tightening its grip, revamping the avenue for communication, and putting a lid on the freelancing mess to keep the electric dream alive.
Tesla Navigates Hiring Surge Amid Funding and Safety Fumbles
Accelerating Workforce for Model 3 Production
Elon Musk’s latest email clocks in with a bold promise: Tesla will rapidly bring on board talent to plug the gaps in the Model 3 ramp‑up and future product dev. In plain English, the company is “hiring like it’s a pop‑quiz” to keep the electric vehicle assembly line humming.
Investor Pushback and Financial Scrutiny
- Investors didn’t just stare—they cornered Musk when he abruptly muted financial analysts during the earnings call.
- The market reacted, wiping the share price down 5 % in a swift surprise.
- Despite Musk’s upbeat confidence that Model 3 production is on track, the crowd’s skepticism over Tesla’s finances has grown louder.
Bank Agreement Shift
New deal terms mean Tesla can use its flagship Fremont, California plant as collateral—an unconventional move that underscores both the company’s boldness and the stakes in its cash‑flow juggling.
Regulatory Challenges and Autopilot Claims
On May 2, a U.S. transport safety regulator publicly contradicted Tesla’s claim that Autopilot “significantly reduces crashes.” The tech, described as advanced cruise control, asserts the driver is always responsible for safe operation— a reminder that “AI autonomy” doesn’t equal “total independence.”
Musk Responds to Eye‑Tracking Rumors
In a tweet that read almost like a meme‑style rebuttal, Musk shot down a Wall Street Journal report suggesting Tesla dropped an eye‑tracking system over cost concerns:
“This is false. Eyetracking rejected for being ineffective, not for cost. WSJ fails to mention that Tesla is the safest car on road, which would make article ridiculous. Approx 4X better than avg,”
—Musk
He then leaned on hard‑to‑disprove statistics, citing a fatality record of one in 320 million miles versus last year’s national average of 86 million miles—charts that make Tesla look less like a “futuristic prototype” and more like a guardian angel on wheels.
Safety Metrics and Future Reporting
While Reuters couldn’t confirm the mileage figures Musk touts, one thing is clear: the company is prepping to surface safety data from the upcoming second quarter. It’s a move that could either calm or fire up an already tense investor community, depending on what the numbers say about Tesla’s claim of being the safest ride.
Key Takeaway
Tesla’s juggling act—rapid hiring, financial wobbles, safety scrutiny, and bold marketing—shows the company’s relentless push to stay ahead, even if the road ahead is fraught with bumps and giggles.
When a Tesla Gets Towed Into Trouble
Just when you think electric cars are all smooth sailing, a Tesla Model S has landed in a sticky situation—and not the kind you find at a garage sale.
Friday Night Fumble
- Location: Roughly 20 miles south of Salt Lake City, Utah.
- Driver’s speed: 97 km/h (about 60 mph).
- Collision: The sedan slammed into a stop‑sign‑stuck fire truck at a red light.
- Injuries: The driver snapped an ankle; no fatalities this time.
Was Autopilot at Play?
Police reports say the driver admitted, “I was on Autopilot,” before the scary crash. Tesla, however, voices that they still haven’t received the vehicle’s data and can’t confirm whether the feature was actually active.
What’s the NTSB Got to Do With It?
- The National Transportation Safety Board is holding off on this Utah incident.
- Last week they were busy investigating a different Tesla mishap in Fort Lauderdale that claimed two teenage lives.
- That case marked the fourth ongoing probe involving Tesla vehicles.
In Summary
So, string your mind together like a battery: a Tesla crash, an alleged Autopilot flirtation, and a fire‑truck collision that might have sparked a sparker of a fire. The story’s still developing, and we’re all holding our breath to see what comes next—both literally and figuratively.
